How the welfare state ends

Daniel J. Mitchell is a favorite of mine. The following two cartoons, from one of his articles, tells you all you need to know about the welfare state and its end.

Since Mr. Obama became president, 18 million more Americans are on food stamps. Direct transfers from the federal government to individuals have increased 32%. We have 11 million people receiving disability payments (that is more than the population of Greece). Medicaid is growing at an astronomical rate. With the advent of ObamaCare, in Maryland, for example, the number of newly eligible Medicaid enrollees is more than 25 times the number of people signed up for private coverage. The privately insured pay the tab for the Medicaid enrollees. The current federal estimate is that there will be 7 million new Medicaid enrollees by the end of 2014 and 11 million by 2020. The list of federal welfare programs is indeed impressive (see footnote).

Margaret Thatcher was correct. Socialism is great until you run out of other peoples money. I rest my case.

Roy Filly

Footnote:

Government social programs

Head Start

Social Security Disability

Social Security Retirement and Survivors Benefits

Supplemental Security Income (SSI)

Medicaid

Medicare

Welfare (Temporary Assistance for Needy Families, or T.A.N.F.)

G.I. Bill

Veterans’ benefits

Pell Grants

Unemployment Insurance

Food Stamps

Government Subsidized Housing

Home Mortgage Interest Deduction

Hope and Lifetime Learning Tax Credits

Child and Dependent Care Tax Credit

529 accounts (qualified tuition programs) or Coverdell education savings account (Education I.R.A.’s)

Earned-income tax credit

Employer subsidized health insurance

Employer subsidized retirement benefits

Federal student loans