Transfer payments discourage the recipients from earning income in the present and from investing in their potential to earn income in the future. People respond to a reduced cost of idleness by choosing to be idle more often.
Robert HiggsUntil the 1930s, the Constitution served as a major constraint on federal economic interventionism. The government's powers were understood to be just as the framers intended: few and explicitly enumerated in our founding document and its amendments. Search the Constitution as long as you like, and you will find no specific authority conveyed for the government to spend money on global-warming research, urban mass transit, food stamps, unemployment insurance, Medicaid, or countless other items in the stimulus package and, even without it, in the regular federal budget.
Robert HiggsIt is a sound interpretive rule...that anything that cannot be accomplished except with the aid of threats or the actual exercise of violence against unoffending persons cannot be beneficial to one and all.
Robert HiggsIf I had to use a single word to describe what is fundamentally wrong with government today, I would use the word fraud.
Robert HiggsRecipients of transfers tend to become less self-reliant and more dependent on government payments. When people can get support without exercising their own abilities to discover and respond to opportunities for earning income, those abilities atrophy. People forget - or never learn in the first place - how to help themselves, and eventually some of them simply accept their helplessness.
Robert Higgs