Mike Huckabee News
Oct 30 2012
The economic recovery is being hurt by too much welfare and wealth redistribution. No, that’s not from the GOP platform. It’s the conclusion of an economics professor from the University of Chicago! Chicago Prof. Casey Mulligan has been studying our welfare system, and he says that all the money this administration to help people survive the recession is actually prolonging it. He found that welfare spending in 2011 topped $1 trillion, making it the biggest part of the federal budget. It’s not just that more people need it, but benefits have gotten more generous, to the point that more than half of what we call “anti-poverty” spending is now going to people who are above the poverty line. So much money is now being redistributed to people who don’t really need it that it’s pushing the labor forces numbers down. He says there are people who could get work, but it makes more financial sense to keep a dollar’s worth of benefits than to trade them for a dollar that has tax taken out of it.
Mulligan estimates that if we hadn’t had such a constant, generous safety net since 2007, at least half of the drop in aggregate work hours wouldn’t have occurred or would have been short-lived. He says he’s not saying we shouldn’t have the safety net, just that the government’s attempts at redistribution have been handled in a “pretty terrible way” that’s made matters worse. Or as Ronald Reagan used to put it, we need a safety net, not a hammock. You can read Mulligan’s research for yourself. He’s put it in a new book called “The Redistribution Recession.”This commentary is from today's Huckabee Report. To receive my commentary by email sign up here.