Debunking Biden’s Misguided Economic Claims: Why Welfare Recipients Do Not Grow the Economy
By Antonio Graceffo
Jun. 24, 2024 8:30 am
Welfare abuse, cartoon image courtesy of Antonio Graceffo
The Biden White House claims that illegal immigrants, asylum seekers, and welfare recipients all grow the economy, and that giving away government money ends poverty. While illegal immigrants do contribute to economic growth, they do not do so more than legal immigrants or citizens.
And the only way to truly end poverty is for impoverished people to earn more money through work. Providing welfare, while sometimes morally justified, neither grows the economy nor ends poverty.
These assertions about government transfers stimulating economic growth are unfounded, based on the false notion that increasing government debt and printing money leads to real growth. In the short run, this approach reduces the earnings of working people and creates a ballooning government debt that must be paid in the future.
Illegal immigrants, asylum seekers, and welfare recipients receive government transfer payments funded primarily by income tax paid by working people. Supporters of these payments argue that recipients stimulate the economy by spending them. While this is true, it is no more beneficial than having the original earners spend their money.
https://www.thegatewaypundit.com/202...-grow-economy/
