Wintery Knight

…integrating Christian faith and knowledge in the public square

Democrat economics working: mass unemployment creating new jobs

ECM sent me this article from NBC News New York.

Excerpt:

Economic woes have forced at least one city agency into a hiring spree — adding more workers to process the demand for food stamps and other assistance.

The Human Resources Administration added more than 100 workers last July and plans to hire another 100 to serve the burgeoning number of New Yorkers applying for food stamps and rent assistance at their offices,according to the Daily News.

About 1.8 million New Yorkers are now on food stamps, which marks nearly a 65 percent increase from four years ago, according to city records. The increase in applicants has led to overcrowding at HRA offices throughout the city, and the agency said at a council hearing Tuesday that it had to hire scores of new workers and supervisors to manage the situation.

The HRA has also expanded its waiting rooms to accommodate the swell in applicants.

The city implemented a web-based food-stamp application program last year, but applicants still must be finger-printed at HRA centers before they can become eligible for benefits.

Just think: if everyone were on food stamps, then everyone would be equal, and there would be none of that nasty income inequality!

Filed under: News, , , , , , , , , , , , ,

Assessing Obama’s claims about income inequality in America

From Zero Hedge.

Excerpt:

Tonight’s stunning financial piece de resistance comes from Wyatt Emerich of The Cleveland Current. In what is sure to inspire some serious ire among all those who once believed Ronald Reagan that it was the USSR that was the “Evil Empire”, Emmerich analyzes disposable income and economic benefits among several key income classes and comes to the stunning (and verifiable) conclusion that “a one-parent family of three making $14,500 a year (minimum wage) has more disposable income than a family making $60,000 a year.” And that excludes benefits from Supplemental Security Income disability checks. America is now a country which punishes those middle-class people who not only try to work hard, but avoid scamming the system. Not surprisingly, it is not only the richest and most audacious thieves that prosper – it is also the penny scammers at the very bottom of the economic ladder that rip off the middle class each and every day, courtesy of the world’s most generous entitlement system. Perhaps if Reagan were alive today, he would wish to modify the object of his once legendary remark.

And it gets worse for those who don’t report their income:

If the one-week-a-month worker maintains an unreported cash-only job on the side, the deal gets better than a regular $60,000-a-year job.  In this scenario, you maintain a reportable, payroll deductible, low-income job for federal tax purposes. This allows you to easily establish your qualification for all these welfare programs. Then your black-market job gives you additional cash without interfering with your benefits. Some economists estimate there is one trillion in unreported income each year in the United States.

This really got me thinking. Just how much money could I get if I set out to deliberately scam the system? I soon realized that getting a low-paying minimum wage job would set the stage for far more welfare benefits than you could earn in a real job, if you were weilling to cheat. Even if you dodn’t cheat, you could do almost as well working one week a month at minimum wage than busting a gut at a $60,000-a-year job.

SSI pays $8,088 per year for each “disabled” family member. A person can be deemed “disabled” if thy are totally lacking in the cultural and educational skills needed to be employable in the workforce.

If you add $24,262 a year for three disability checks, the lowest paid welfare family would now have far more take-home income than the $60,000-a-year family.

Why am I getting up early every morning and going in to work to pay for the lifestyles of these other people? Well – this is how the Democrats are able to get elected. They buy  votes from the people who are dependent on government by paying them off with money taken from people who work for a living. And they think that this Robin Hood redistribution of wealth is noble and compassion. I am “greedy” because I want to tax cuts to keep more of what I earn.

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