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Three Cheers for Ryan’s Plan
Townhall.com ^ | August 2, 2014 | John C. Goodman

Posted on 08/02/2014 4:55:44 AM PDT by Kaslin

Representative Paul Ryan has a bold, ambitious proposal “Expanding Opportunity in America,” to completely remake the American welfare state. Along the way he would also change the federal government’s approach to education, revamp what we are doing in our prison system and much more.

Here is a surprise. Although Ryan’s approach is based on well-known conservative ideas, some on the left are actually praising parts of the proposal – including the editorial page of the Washington Post.

Ryan’s plan shows something I have believed for a long time. All the innovative thinking on how to solve public policy problems for the past 25 years has come from the right. Even ObamaCare started out as a conservative health reform before liberals in Congress completely botched it. Liberals just don’t seem interested in solving problems any more.

Welfare reform. It’s certainly no secret that our welfare system is dysfunctional. There are 185 means tested welfare programs and government at all levels is spending more than $1 trillion on them. Yet the poverty rate today is about as high as it’s been in 45 years.

$1 trillion, by the way, is almost $22,000 for every poor person in America, or $88,000 for a family of four.

There is a reason for the dysfunction. Instead of helping people become self-sufficient and independent, we are paying them to stay poor. We penalize those who work and produce. We reward those who remain idle. Low-income families face the highest effective tax rates in the country – higher than those faces by the very rich. That’s because every time they earn a dollar, they lose welfare benefits.

According to a Congressional Budget Office study [Foot note 17 cited in Ryan’s report] and additional calculations by the House Budget Committee staff [foot note 18]:

… a single mother with one child would face an effective marginal tax rate of 36 percent if she began to work part-time. And her tax rate would rise to 42 percent if she worked full-time. A single person with no children, meanwhile, would face effective marginal tax rates of 48 percent and 78 percent respectively. So despite working part- or even full-time, many families wouldn’t be that much better off. In fact, these figures may even understate the problem because they don’t include work expenses, like child care and transportation. Including these additional costs can push the marginal tax rates above 100 percent which means that individuals are actually worse off for earning more.

University of Chicago economist Casey Mulligan estimates that half the excess unemployment we are experiencing can be directly tied to the incentive effects of the loss of entitlement benefits. In other words, half the people who should have a job don’t have one because we are paying people not to work.

So what can we do about all this? Ryan begins with something my colleague Peter Ferrara has advocated for a long time: block grant 11 means tested welfare programs to the states and give them great flexibility in how they use those funds. Then he advocates a case management approach, similar to what Michael Stroup and I proposed almost 30 years ago in Privatizing the Welfare State (study, book).

The ideal welfare system requires "hands-on-management," a system in which the amount and type of aid is determined on a case-by-case basis, depending on the individual circumstances of the recipient.

However, Stroup and I argued that such a system can be run and administered only by the private sector:

There is mounting evidence that the private sector does a better job at getting aid first to those who need it most, at encouraging self-sufficiency and self-reliance, at encouraging the family unit, and at using resources efficiently.

Ryan would allow the states to contract with the private sector. But he wouldn’t require it.

Earned Income Tax Credit. Under this program low-income taxpayers get a “refund,” even though they don’t owe any taxes. Ryan would greatly expand the amount of money adults without children can claim. The EITC program was a Republican idea (proposed by Milton Friedman) that conservatives tend to like because it is pro-work and doesn’t involve a federal bureaucracy – although the forms are terribly complicated, there is a lot of fraud and the phase out of the credit raises marginal tax rates.

K-12 education. Federal education spending Head Start (a political sacred cow that appears to be ineffective) and other programs would be replaced with block grants to the states. Ryan’s hope is that the states will spend the money more wisely.

Higher education. The proposal targets 14 tax benefits costing $36 billion in 2014. This money would be redirected to the students with the greatest needs. In addition, students would have alternative ways of getting an accredited college degree. Ryan writes:

David Bergeron and Steven Kolinsky describe such a system in which “students who complete the preapproved, tuition-free MOOC and also pass the confirmatory [new accreditor’s] assessment would earn accredited course hours from [the accreditor] itself. Enough such courses in the right scope and sequence (say physics from MIT, poetry from Harvard, theology from Notre Dame and so on) could lead to a fully accredited . . .degree.”

Prisons. Ryan would give judges more discretion in sentencing nonviolent offenders and would strengthen rehabilitation programs for prisoners.

Regulations. A special review process would give extra scrutiny to regulations that are especially oppressive for low-income families.

Review of current policies. A Commission on Evidence Based Policy Making would review programs to determine which ones work and which ones don’t.

All told, this is a credible conservative agenda that should get serious attention from everyone, regardless of political party.


TOPICS: Editorial; US: Kentucky; US: Wisconsin
KEYWORDS: kentucky; paulryan; poverty; randsconcerntrolls; welfare; wisconsin

1 posted on 08/02/2014 4:55:44 AM PDT by Kaslin
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To: Kaslin

Ain’t gonna happen. Maybe in 3 years...


2 posted on 08/02/2014 4:58:14 AM PDT by DIRTYSECRET (urope. Why do they put up with this.)
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To: Kaslin

What’s this about “block grants to the states”?

Where does the central government get the money? From overtaxing the citizens OF THE STATES!

Why should money go to Washington in the first place, to be returned as “block grants to the states”?

BTW: Ryan is a sell-out. Who cares what he has to say about anything anymore?


3 posted on 08/02/2014 5:06:59 AM PDT by Arthur McGowan
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To: Kaslin

I see no mention of getting rid of redundant government programs, government workers and government facilities. Or are we to continue paying government workers to surf the internet and watch TV?


4 posted on 08/02/2014 5:15:34 AM PDT by NTHockey (Rules of engagement #1: Take no prisoners. And to the NSA trolls, FU)
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To: Kaslin
ANY idea...is better then no idea at all...

It's like building a big boat...sure, their may be a few engineering problems along the way...but you fix the small stuff when you come to it...

One thing is for SURE...man, we need a new boat...if we don't fix the welfare system it our country damn quick...we're ALL going down..!

5 posted on 08/02/2014 5:17:13 AM PDT by unread (Rescind the 17th. Amendment...bring the power BACK to the states...!)
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To: Arthur McGowan

eggzackly-—where does this plan cut actual spending?


6 posted on 08/02/2014 5:19:41 AM PDT by TurboZamboni (Those who make peaceful revolution impossible will make violent revolution inevitable.-JFK)
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To: Arthur McGowan
BTW: Ryan is a sellout

I don't think he's ever sold out his sponsor, the Chamber of Commerce. He was faking it pretending to be somewhat conservative when campaigning for VP.

Everything in Ryan's plan is about revamping programs instead of real action.

How about turning northern Mexico into a 10-mile wide DMZ run by US military? Now that would be a dramatic call to action! How about bringing troops in NATO countries home to defend our borders? How about demanding EVerify be the law of the land? Sending home invaders?

I seriously cannot imagine Ryan suggesting things like this that could actually be done NOW. He's the RINO collaberator with the dems who sabotaged HOR conservatives in the budget control battle.

7 posted on 08/02/2014 5:27:33 AM PDT by grania
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To: unread
ANY idea...is better then no idea at all...

That's what a lot of us thought about TEFRA. That's what liberals say about Obamacare. That's what Alexander and co. say about "comprehensive immigration reform".

Sometimes no idea is the best politically feasible option.
8 posted on 08/02/2014 5:32:57 AM PDT by Dr. Sivana ("If you're litigating against nuns, you've probably done something wrong."-Ted Cruz)
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To: Arthur McGowan

How so is Ryan a sell out — inform me, please?


9 posted on 08/02/2014 5:39:52 AM PDT by RAY (God Bless the USA!)
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To: Kaslin
If the WP finds anything to praise then we had better scrutinize it minutely. Reađ the fine print and the invisible ink.
10 posted on 08/02/2014 5:54:51 AM PDT by arthurus (Read Hazlitt's Economics In One Lesson ONLINE http://steshaw.org/economics-in-one-lesson/)
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11 posted on 08/02/2014 6:01:57 AM PDT by DJ MacWoW (The Fed Gov is not one ring to rule them all)
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To: RAY

Google.


12 posted on 08/02/2014 6:07:30 AM PDT by Arthur McGowan
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To: Kaslin

No cheers for Ryan’s plan. DEFUND/DISMANTLE this socialist leviathan.

BIG GOVERNMENT IS CRONY SOCIALISM

He has erected a multitude of New Offices, and sent hither swarms of Officers to harrass our people, and eat out their substance.

http://www.usa.gov/directory/federal/

(pick one, any one…DEFUND/DISMANTLE)

Socialism Is Legal Plunder - Bastiat

http://www.usdebtclock.org

Three cheers for the posters on this thread.


13 posted on 08/02/2014 6:10:26 AM PDT by PGalt
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To: Arthur McGowan; RAY

Is this your only answer you have? If it is, it is lame


14 posted on 08/02/2014 6:16:28 AM PDT by Kaslin (He needed the ignorant to reelect him, and he got them. Now we all have to pay the consequenses)
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To: Kaslin
Where do I start?

Earned Income Tax Credit...Ryan would greatly expand the amount of money adults without children can claim.

And cut what? Yes, the EITC gives money directly to individuals and skips layers of bureaucracy, but where are the cuts. Democrats want to play mommy and Ryan wants to play daddy.

K-12 education. Head Start (a political sacred cow that appears to be ineffective) and other programs would be replaced with block grants to the states.

How about this, get the FReepin' federal government out of education altogether. Are the states governments too stupid to handle their own education needs without big daddy government? Once again, Democrats want stupid, big government and the GOPe wants smart, big government.

Higher education....

Ditto above.

Regulations. and Review of current policies.

What a steaming pile of dog crap, both of these are! This is just another round of "reduce waste fraud and abuse" that I have heard from both parties for decades.

It sounds great, but for every reduction of a regulation or policy, they will add five more. Just more election-year oral diarrhea! And why don't they have a plan already in place? And what are the real cuts in Fedzilla?

15 posted on 08/02/2014 6:17:51 AM PDT by VRW Conspirator (The next DNC convention will be spoken in Spanish; Press 1 for English)
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To: Dr. Sivana
"Sometimes no idea is the best politically feasible option."

Well...we're going to get an "idea" alright, you can count on that...! But I would much prefer that it be a idea from the "right" then otherwise... Much like you, I have seen enough from the "left" to last a lifetime...

Or...we can all kick back and ignore that big hole in the bottom of the boat and let it go on down...

Maybe we could reboot our constitution after the race wars... I'm not totally opposed to that but, we would loose lots of the things that we hold dear...

16 posted on 08/02/2014 6:23:37 AM PDT by unread (Rescind the 17th. Amendment...bring the power BACK to the states...!)
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To: NTHockey

“......Or are we to continue paying government workers to surf the internet and watch TV?”

THAT’s a problem, but having those Leftist created departments falsely expanding the Executive Branch to the detriment of the Constitutional purpose of the Legislative branch being stuffed to the point of bursting with entrenched Liberal sycophants making rules to favor Liberal perspective, to enforce Liberal perspective is their actual purpose.

All of those Departments under the Executive Branch control are just more Democrat sleight-of-hand increasing their power, expanding their control.

IIRC The Left is the minority, and virtually everything they do is to bring to their minority more power in our government from cheating in the electoral processes as in double voting, to rousing and registering the dead their focus is self aggrandizement.


17 posted on 08/02/2014 6:34:05 AM PDT by rockinqsranch ((Dems, Libs, Socialists, call 'em what you will. They ALL have fairies livin' in their trees.))
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To: Kaslin

The turd probably buried amnesty in there somewhere. He’s got take care of his CoC handlers.


18 posted on 08/02/2014 7:15:48 AM PDT by vmivol00 (I won't be reconstructed.)
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To: vmivol00

Wow. I just realized how that sounded.


19 posted on 08/02/2014 7:16:27 AM PDT by vmivol00 (I won't be reconstructed.)
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To: vmivol00

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20 posted on 08/02/2014 7:19:51 AM PDT by Kaslin (He needed the ignorant to reelect him, and he got them. Now we all have to pay the consequenses)
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To: Kaslin
His plan to cut SS of our senior citizens is enough to dismiss him. Cut the billions given to sh*thole countries who hate us.

The average American hasn’t a CLUE how much of our tax money Obama has sent down Muslim sh*t holes while he plans to slash the military, CUTS MEDICARE and threatens to withhold senior’s social security checks!

BILLIONS FOR JIHAD! Obamas 2009 Supplemental Appropriations for Iraq, Afghanistan, Pakistan, and Pandemic Flu was revised and passed by the full committee. It gives billions of U.S. taxpayer dollars to countries and entities that support Sharia law and/or harbor, hide and support those who want to destroy the U.S. and our allies. http://creepingsharia.wordpress.com/2009/05/1...

Read the summary from David Obeys office that was quietly released last week with nary a word from any media.

$3.6 BILLION, matching the request, to expand and improve capabilities of the Afghan security forces

$400 MILLION, as requested, to build the counterinsurgency capabilities of the Pakistani security forces

AFGHANISTAN: $1.52 BILLION, $86 MILLION above the request WEST BANK AND GAZA: $665 MILLION in bilateral economic, humanitarian, and security assistance for the West Bank and Gaza

JORDAN: $250 million,$250 million above the request, including $100 million for economic and $150 million for security assistance

EGYPT: $360 MILLION, $310 million above the request, including $50 million for economic assistance,$50 million for border security, and $260 million for security assistance

PAKISTAN:$1.9 billion,$591 million above the request

IRAQ:$968 MILLION,$336 million above the request

Oversight: $20 million,$13 million above the request, to expand oversight capacity of the State Department, USAID, and the Special Inspector General for Afghanistan to review programs in Afghanistan, Pakistan and Iraq

Lebanon:$74 million

International Food Assistance:$500 MILLION,$200 million above the request, for PL 480 international food assistance to alleviate suffering during the global economic crisis

REFUGEE ASSISTANCE:$343 MILLION,$50 million above the request, including humanitarian assistance for Gaza.

Funding for the UN Relief and Works Agency programs in the West Bank and Gaza is limited to $119 million (Note: Gaza = Hamas)

Disaster Assistance: $200 MILLION to avert famines and provide life-saving assistance during natural disasters and for internally displaced people around the world, including Somalia, Zimbabwe, Ethiopia, the Middle East and South Asia

Peacekeeping:$837 MILLION FOR UNITED NATIONS peacekeeping operations, including an expanded mission in the Democratic Republic of the Congo and a new mission in Chad and the Central African Republic

Department of Justice: $17 million, matching the request, for counter-terrorism activities and to provide training and assistance for the Iraqi criminal justice system

OBAMA GIVES YOUR TAX DOLLARS TO REBUILD MUSLIM MOSQUES AROUND THE WORLD! http://canadafreepress.com/index.php/article/... #

ACCORDING TO THE ASSOCIATED PRESS, THE OBAMA ADMINISTRATION WILL GIVE AWAY NEARLY $6 MILLION OF AMERICAN TAX DOLLARS TO RESTORE 63 HISTORIC AND CULTURAL SITES, INCLUDING ISLAMIC MOSQUES AND MINARETS, IN 55 NATIONS. See the State Department document here. http://exchanges.state.gov/media/pdfs/office-...

And THAT’S just the tip of the iceberg.

THIS will blow your mind!! http://gbk.eads.usaidallnet.gov/ They should have 2010 up, but they don’t. That’s where you’ll find Obama’s largesse towards Muslim countries really go off the charts.

http://www.foreignassistance.gov/DataView.aspx charts: http://gbk.eads.usaidallnet.gov/data/fast-facts.html .

_____________________________________________________

Obama Increased Foreign Aid 80%; Spent 76% More on Foreign Aid Than Border Security cnsnews

CNSNews.com) - From fiscal 2008 to fiscal 2011, according to the U.S. Treasury, the federal government increased spending on foreign aid by 80 percent and, in fiscal 2011, spent 76 percent more on foreign aid than it did securing the borders of the United States.

In fiscal 2008, the government spent a total of $11.427 billion in international assistance programs, according to the Monthly Treasury Statement. In fiscal 2011, according to the statement, it spent $20.599 billion—an increase of $9.172 billion, or 80 percent, from 2008.

http://cnsnews.com/news/article/obama-increased-foreign-aid-80-spent-76-more-foreign-aid-border-security

21 posted on 08/02/2014 8:45:41 AM PDT by patriot08 (NATIVE TEXAN (girl type))
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To: patriot08
His plan to cut SS of our senior citizens is enough to dismiss him.

So you are going along with the left's claim that he wants to throw grandma over the cliff

22 posted on 08/02/2014 8:58:30 AM PDT by Kaslin (He needed the ignorant to reelect him, and he got them. Now we all have to pay the consequenses)
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To: Kaslin

I’m saying leave our senior’s benefits that they have worked so hard for alone and stop pouring money into the hands of countries who hate us if you want to make cuts.
(see post 21 for the astonishing amount of our tax dollars
poured into these sh*tholes- yet NOBODY has the sense to realize or the guts to start making the cuts HERE. What good is it doing? The money is going into the pockets of dictators/terrorists)

Our seniors are what made America the greatest country in the world- and our seniors have not had a significant raise in years and seem to be the first on the list to be short changed. (Look at the VA scandal)

(My own dear grandfather fought in WW2 and was badly injured, and yes, he has been victimized by the VA.)

(Don’t think he wanted to cut senior’s benefits? Google it)

.


23 posted on 08/02/2014 11:13:02 AM PDT by patriot08 (NATIVE TEXAN (girl type))
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