Archive for July 27th, 2011

Most social programs are advertised to help the poor. But in fact, they usually benefit the middle and upper classes as Milton Friedman points out:

The two examples he discusses are subsidized universities and social security programs. In both cases, he brilliantly explains why these government interventions turn out to largely benefit the middle-income class at the expense of poorer people.

There is no social program in this country, in my opinion, which is so clearly a case of imposing taxes on low-income groups to benefit high-income groups as government subsidies to higher education.

But despite this being relatively easy to see, there is hardly a chance of eliminating these subsidies. For a simple reason:

We know that what is good for us, is good for the country.


Read Full Post »