Welfare State Stasis (America Is A Welfare State)

Washington Post ^ | 14 February 2007 | Robert J. Samuelson

[shrinkermd]

...The table shows the rise of the American welfare state. In 1956, defense dominated the budget; the Cold War buildup was in full swing. The welfare state, which is what "payments to individuals" signifies, was modest. Now everything is reversed. Despite the war in Iraq, defense spending is only a fifth of the budget; so-called entitlement payments to individuals are almost 60 percent -- and rising. In fiscal 2006, the federal government spent almost $2.7 trillion. Social Security ($544 billion), Medicare ($374 billion) and Medicaid ($181 billion) dominated. There was $199 billion more for payments to the poor, including the earned-income tax credit and food stamps.

Almost no one wants to slash these programs. They have huge constituencies; they're popular. Paradoxically, their invulnerability and size also protect much of the rest of the budget. ...Does anyone really want to end the National Institutes of Health at $28 billion? Or how about the $41 billion we spend to support federal courts, prosecutors and police (the FBI, DEA, Border Patrol)?

Of course, some programs are wasteful, ineffective or outmoded. My favorite example is Amtrak, which serves a tiny number of passengers, is concentrated in the Northeast and costs $1.3 billion annually...

...The welfare state has made budgeting an exercise in futility. Both liberals and conservatives, in their own ways, peddle phony solutions. Cut waste, say conservatives. Well, network news reports of $20 million federal programs that don't work may seem -- and be -- scandalous, but like Amtrak they're usually mere blips in the total budget.

[gogeo]

No, actually they paid for someone else's retirement. SS is not a retirement program, it's an income transfer program.