(B) Social Policy, Transfers and Entitlements

By Phil Gramm and Robert B. Ekelund Jr. – Working Americans sense that taxes and transfers now leave them little better off than those who work less. An article on…the most comprehensive accounting to date of how taxes and government payments affect income distribution in the U.S. …The most surprising finding is the astonishing degree of equality among the bottom 60% of American earners, generated in part by the explosion of social-welfare spending… Read More

By John F. Cogan and Daniel L. Heil – The federal government’s system of entitlements is the largest money-shuffling machine in human history, and President Biden intends to make it a lot bigger. His American Families Plan—which he recently attempted to tie to a bipartisan infrastructure deal—proposes to extend the reach of federal entitlements to 21 million additional Americans, the largest expansion since Lyndon B. Johnson’s Great Society.

For the first time in U.S. history…more than half of working-age households would be on the entitlement rolls if the plan were enacted in its current form. Contrary to Mr. Biden’s assertion that his plan “doesn’t add a single penny to our deficits,” his plan would add more than $1 trillion to the national debt over the next decade. Read More