Site Links:




Menu:


Wall Street and The USA Economy - Investing Questions



Question: Why do government programs exist for things we KNOW can be done on an individual level?


( Back )

Answer #1:

And a conservative is born. Congratulations on being 17 and being better informed than about 90% of the population.

Answer #2:

17 how do you do it! watch glen's chock board and school at the same time.....you must be a Genius

or paul grass

Answer #3:

Dems don't think with their brains. They think with their hearts. That's why we're in financial trouble.

Answer #4:

Read economist Robert Kuttner's "Everything For Sale: The Virtues and Limits of Markets" for your answer. It's a classic.

The government is only needed when markets fail. We have had many, many market failures. The growth of government is directly proportional to the failures of free-market capitalism. If capitalism actually worked to promote a "general welfare" (Constitutional language for a thriving society that benefits all) government would be absolutely minimal. Even the founding fathers, however, realized that markets are not sufficient for promoting general welfare and explicitly assigned that duty to the Legislative Branch (removing it from the forces of laissez-faire economics and placing WITHIN THE PURVIEW of government*).

Social Security- offsets low wages and the paradox of thrift
Medicaid/Medicare- created to remedy the failed private health insurance market
Antitrust Division of the DOJ- resists the monopolistic tendencies of capital
FDA- created to watch for snake-oil salesmen.
FDIC- Insures bank deposits from the dangers of runs in a fractional reserve banking system
Troubled Asset Relief Program (TARP)- created to remedy failed Wall Street financial engineering
Unemployment Insurance- well, you get the picture...
Etc, etc, etc.

As for education, how ethical is it for the quality of a child's education to be based on the income of his/her parents? Children should not be responsible, or have to pay the price, for their parents' social outcomes. It's inter-generational, social injustice that nobody should tolerate.

Answer #5:

Voting blocs.

Answer #6:

You mean by some individuals.

Answer #7:

Wow, that was quite the question, so I hope my short answer isn't a disappointment. The reason our politicians have enacted these social programs is because it grows government and keep people dependent. It really is that simple.

Answer #8:

No, Medicare is not unsustainable. It's a system whereby a tax on people who work subsidizes medical insurance for those who are retired. That will always be possible. No, the system need not ever be run at a deficit. It will always be possible to collect enough taxes to pay for medical insurance for the elderly. In fact, it's possible to expand the system to pay for medical insurance for everybody. Many countries do this and it works.

It is NOT possible for this to be taken care of as satisfactorily by individuals or families, because medical needs are a big random factor in our lives. You do not know if you will get cancer, or heart disease or be hit by a bus. We know it will happen to a certain number of people, but cannot identify who or when before the fact. Unfortunately, it happens to the rich and poor alike. The rich are not a concern. They can afford the care they need. Poor and working class people can't afford it when they need it, and the consequences when they need it and can't get it are dire, and can easily move them from the category of productive, taxpaying citizen to either deceased or permanently disabled. Either way, society loses their productivity.

And that's bad for everybody.

Answer #9:

Yes you are naive and the people patting you on the back are obviously biased conservatives. At least you need to hear the liberal side of the story.

First of all, Medicare was put into place because Insurance programs for the elderly were incredibly expensive and only the rich could afford coverage. Yes, medicare is unsustainable as it exists now, it needs to be reformed, and the health care bill begins to address that. The idea that kids will able to afford to take care of their parents, is nice, but medical care costs in this country are out of control, the highest in the world and getting higher every year. And at the same time wages for average Americans have been virtually flat for the last 20 years. And China and India have socialized medicine, although India's programs are run by the individual states. They also still have incredible poverty in many areas.

As far as education, if you privatize it, only the rich will be able to afford a good education. Public education is one of the reasons the USA became a great country. You can't send your kid to private school when you are making ten dollars an hour!.

The military budget in the USA is 785 billion - more than Russia, China, India, France, and the UK COMBINED. We could stand to make some big cuts there.

Answer #10:

Medicare and Social Security is not funded from tax collections. They are contributions by current working employees which have a small amount deducted from their paychecks. These monies are what goes to pay currently retired seniors and disabled people, both receive Social Security and Medicare. I personally don't even believe in having a military and certainly feel that too much is spent on killing people rather than caring for them at home. The functions you mentioned are funded differently on a state, local and federal level so don't mix them up.

How do you expect parents to afford to pay for their children's tuition in private school. That is what our civil rights anti-discrimination laws accomplished. Before that, mostly rich white kids went to private schools and they did not let non-whites in untilt he government mandated equal treatment. Even the last Republican administration favored government subsidies called voucher for kids to attend private school. Private schools can turn kids away, public schools cannot.

There are no profits in the Medicare program. It is non-profit. That means the government does not have to cut people off from treatment and lower their overheads to satisfy stockholders. Even children use Medicare if they are disabled. The U.S. has been running deficits since the 1980s and our trade deficits have gotten larger. Any civilized country owes its citizens some protections from poverty and illness. It is not too much to ask of the wealthiest country to help its own people. A government is not a cold-hearted corporation.

People don't always have families who will help them. Maybe they are alone in the world and very old. Their social security is all they have to live on. They need help getting enough food and clothing and other services.





** Powered by Yahoo Answers