BLOOMBERG OPINION: Biden should show Americans the money
Cash benefits are more balanced than tax cuts in determining who gets the money
Whether Joe Biden’s presidency will be as transformative as many are hoping remains to be seen. But if it does turn out to be one of those pivot-of-history kind of presidencies, like that of Ronald Reagan or Franklin D. Roosevelt, what will be the big economic policy idea that comes out of it? For Reagan, it was tax cuts. For Biden, it will probably be cash benefits.
America’s traditional government welfare programmes, mostly developed during Roosevelt’s New Deal and Lyndon Johnson’s Great Society, were meant to reassure a nation that was deeply sceptical of government support. Some programmes required people to search for work, or only phased in once people started earning a bit of income. Others were restricted to the old or disabled. Still others were in-kind benefits such as health care, housing vouchers and food stamps. All of the restrictions were meant to ensure a distrustful public that healthy, able-bodied people would not laze around on the government dole or spend...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.