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Friday, May 25, 2012

Milton Friedman: Private Charity vs. Taxes: How to Help People in Need



America as a nation has had a long debate about how best to help people in need. To have the government takeover and handle what charities would do or at least give them a bigger role in dealing with poverty. As far as Public Assistance or do we get government out of the way all together and completely leave it up to Private Charity. To help people who for whatever reasons can't take care of themselves or does government continue to fund Public Assistance. As well as give out grants to Private Charity, before the New Deal was created in the 1930s. Almost all Assistance to the poor, was handled through Private Charity, with whatever role that State and Local Governments would play as well. But for the most part Assistance to the poor, was handled through Private Charity, which created a problem during the "Great Recession", because we ended up with more poor people obviously. As well as less people who were capable of donating to Private Charity, because now they need whatever money they still had, just to be able to take care of themselves and their families.

Government has a role in helping people in need, they do have the responsibility to assist people in need. They just don't have a dominant role but more as an assistant, a financial role to help Non Profits who help people who can't take care of themselves. To help those people get back on their feet and we don't need thousands of Federal Public Assistance Programs to do this. Where Uncle Sam should be involved, has to do with Welfare Insurance, for people who don't have the skills to take care of themselves. Dropped out of High School, didn't finish college etc, Unemployment Insurance, which should also include Employment Offices, to replace Unemployment Offices. As well as Public Assistance for Low Income workers, including Job Training so they can get a better job. Uncle Sam just as far as I'm concern, shouldn't be running these programs but more as financier and regulator.

Libertarians would like to eliminate the Safety Net in America and turn all of the responsibility over to Private Charity. Progressives would like to double the Safety Net and create a Welfare State and give most of the responsibility for Assistance to the poor, over to the Federal Government. What I would like to do is what Libertarian Party Presidential Nominee Gary Johnson has proposed, which is to handover the Safety Net to the States as well as Non Profits. To help people in need, make it less centralize and get more people involved. Non Profits do a great job in this area and I would like to empower them to do be able to do more.