danielpalos
Diamond Member
- Banned
- #321
With our current regime, there is incentive to commit fraud (which is worse than a tax) even with a war on crime under our form of Capitalism.No, I am not. I have been on programs with means testing. I did most of the work providing the information.
And why do you object to a means test? Isn't it a good thing to make sure the assistance is needed and not just wanted?
However, you miss the economic point of the convenience of public policies that also function as automatic stabilizers for our economy. The multiplier is the best factor and metric for public policies that can function as automatic stabilizers for our economy. Unemployment compensation was found to have a multiplier of two (2) in one study. For comparison and contrast, means tested welfare has a multiplier of less than one (1). The rational choice is obvious. And, we get a better "bang for our buck" by solving simple poverty since the Poor tend to spend (circulate) most of their income sooner and with less tax evasion.