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Robert Reich

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The Republican Myth of Obama's "Entitlement Society"

Posted: 02/ 2/2012 3:13 pm

One of the few things Mitt Romney and Newt Gingrich agree on is that President Obama is turning America into "European-style welfare culture."

In his standard stump speech Romney charges Obama with creating a nation of dependents. "Over the past three years Barack Obama has been replacing our merit-based society with an entitlement society."

Gingrich calls Obama "the best food-stamp president in American history."

What's their evidence? Both rely on federal budget data showing direct payments to individuals shot up by almost $600 billion, a 32 percent increase, since the start of 2009.

They also point to Census data showing that 49 percent of Americans now live in homes where at least one person is collecting a federal benefit -- Social Security, food stamps, unemployment insurance, worker's compensation, or subsidized housing. That's up from 44 percent in 2008.

Finally, they trumpet Social Security Administration figures showing that the number of people on Social Security disability jumped 10 percent in Obama's first two years in office.

They argue our economic problems stem from this sharp rise in "dependency." Get rid of these benefits and people will work harder.

But they have cause and effect backwards. The reason for the rise in food stamps, unemployment insurance, and other safety-net programs is Americans got clobbered in 2008 with the worst economic catastrophe since the Great Depression. They and their families have needed whatever helping hands they could get.

If anything, America's safety nets have been too small and shot through with holes. That's why the number and percentage of Americans in poverty has increased dramatically over the past three years. According to a study by Northeastern University, a third of families with young children are now in poverty.

This is the real scandal. For example, only 40 percent of the unemployed qualify for unemployment benefits because they weren't working full time or long enough on a single job before they were canned. The unemployment system doesn't take account of the fact that a large portion of the workforce typically works part time on several jobs, and moves from job to job.

Republicans also object to Obama's health care law, which covers 30 million more Americans than were covered before. That law still leaves over 20 million without health insurance. They'll get emergency care when they're in dire straights -- hospitals won't refuse them -- but we all end up paying indirectly.

Regressive Republicans pretend they're about opportunity. In reality they're back at what they've been doing for years -- promoting Social Darwinism.

 
 
 

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04:04 PM on 03/01/2012
The GOTP doesn't have a problem dealing with reality, they are counting on their proven ability to distort reality and our inability to understand the difference.

This is what happens to people who only trust those that tell them what they want to hear.
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l78lancer
Wisdom is the principal thing
01:33 AM on 02/04/2012
"Regressive Republicans pretend they're about opportunity. In reality they're back at what they've been doing for years -- promoting Social Darwinism."
-------------------------------------------------------->

It's easer to promote survival fo the fittest when the objective of the individuals who possess the resources and make the rules are intent on so weakening everyone else that they can't compete or produce.
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blueskies99
If I can make it here, I'll make it anywhere
02:38 PM on 02/04/2012
Republicans promote outsourcing and insourcing of H1bs which put many of us out on the street. They rig the rules then complain about the game.
original joanie
liberal teacher
10:20 PM on 02/03/2012
I'm so tired of it all. Obama is on the campaign trail promoting jobs for veterans now. He got millions out of work and now it's "jobs for veterans." Yes, I want jobs for veterans. I want jobs for everyone.

I feel like he's a campaign slogan these days. I don't think any of them care much about the rest of us. I really don't.
cosmicdart
paragon of paradigms
10:49 PM on 02/03/2012
Generating jobs is just a matter of increasing the number of products being made and services being performed in the United States. I've yet to see a simple can opener that is made in the United State on sale at Walmart. Let's figure out how to open a can opener factory in the United States before we do anything else. Then we use this same method to go from there>>> To a million other products and services until we have 50,000 factories humming along.
04:13 PM on 03/01/2012
I read a study not long ago about the catelogues supplied by Colleges to students to market goods that will improve life on campus. Everything from desk clocks to refrigerators to furniture.

All of the catelogues were provided by foreign retailers and all of them provided a sales comission to colleges that passed them on to students.

The group doing the study claimed to have found American made products of equal or greater quality selling for less. They provided a long list of goods along with quality rating and price comparisons.

America is still a great place to do business. Major American corporations may be able to disinvest temporarily for political gain, but foreign corporations are investing heavily.
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Pearlswan
Born in Philly yet my heart's now in Frisco
06:18 PM on 02/03/2012
These Republican high priests, like Romney, preach their own worldview. How do they get their own children to earn their own money rather than live off parental subsidies? After all, their children don't need to work for survival--they can turn work into a hobby. Do they call them lazy to challenge them to seek work outside of their super-rich bubble? Do they offer them incentives? Do they cut them off at age 18 forcing them to "work for a living?" Do they send them off to college and into debt? It depends on one's worldview.

Romney claims that poor people are lazy & unskilled. They are not incentivized to work but to collect a gov't subsidy. Romney speaks from the foremost concern of an uber-rich parent--namely, how do I get my kids to earn their own money & stop spending all mine? Working class kids intuitively link their future well-being to acquiring a well-paying job. It's a given not a choice.

Fellow Americans, Romney says, ask not what government can do for you! Get a job!

We the people must ask ourselves: What can Romney do for our government? Who does he seek to serve? The answers seem clear in his own words. "Corporations are people, my friend." "I like firing people who provide me services." "I'm not concerned about the very poor."
cosmicdart
paragon of paradigms
10:38 PM on 02/03/2012
There are millions of working poor in the United States who work hard all day who would not be able to work at all if it wasn't for transportation, housing , and medical subsidies, and food stamps. In some American cities, they all go on unemployment at once if there's a bus strike. They're not lazy. They just don't make enough money to do the work in itself without government subsidies. Many of them have college degrees, and are now underemployed surplus labor. China has quite a large number of college graduates in a plight such as this too. Surplus labor might keep profits high, but it also requires entitlements mixed with underemployment.
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journeyman steve
05:24 PM on 02/03/2012
Sadly, while statistically true I do have personal acquaintenances who give the right wing anecdotal ammunuition. One of the GROUP, not just a few, is actually in a top tax bracket missing a lung and in relapse for cancer, he's drawing full disability. Another include a few gals who hurt their back 20 years ago, or so they say, and will not work, but also can live as active of lives as anyone else I know.

In college we had to prove eligbility, to get aid. It does seem that the bureaucrats administering some of the safety nets have taken a very "liberal" (not to be confused with the poltical context) interpretation and will grant anyone a disability these days. That's for obvious reasons to prevent complaints about unfairness, but it's also got top-level bureaucrats and some cabinet appointees striving to justify a big chunk of pie and big paychecks that are justified by "all the work we do and people we help". That's reform that's needed but not justification for elimination of entire programs.

As we in business say, it's not the process, but rather the execution that's failing.
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Pearlswan
Born in Philly yet my heart's now in Frisco
06:43 PM on 02/03/2012
Perhaps the girls who you say hurt their backs 20 years ago and can live as active of lives as anyone else you know are doing so well because they weren't forced to work for the past 20 years and injure themselves further? How would you know? Instead you assume these un-named women got handed a free & easy check even though they paid into the SS system by working for at least 10 years, if not a lifetime.

Social Security Disability Insurance SSDI is not and has not ever been handed out "liberally." In fact, it is granted based on specific government statutes that enumerate many eligibility requirements. The government does not do the applicant evaluations. Third party private for-profit companies are hired to evaluate disability applications. It takes more than a year for the process to render a decision and there must be a doctor and medical records to support the claim that the worker cannot work.

The GROUP named above are benefactors of the SSDI program and represent evidence that the system succeeds in sustaining a decent quality of life for disabled workers. It is not evidence that the system is flawed or corrupted. It just fails to work well for everyone equally and it leaves far too many people outside the system who rightfully deserve to collect their paid-for lifetime benefits. Money wasted to outsource eligibility evaluations that deny more applicants is better spent providing promised benefits to more disabled workers, not less.
original joanie
liberal teacher
11:23 PM on 02/03/2012
C'mon Pearl, anecdotal information is mostly refuted on the grounds that we all know somebody but that doesn't prove that everybody does it. Unfortunately, the fact that we do all know somebody gives ammunition to the right and it may just prove that there's too much of it out there. I'm not against tightening the welfare state but I am against getting rid of it. I really am a generous and forgiving person but it is possible that we need better regulations for it. That would prevent the right from firing so many accurate rounds against us.
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l78lancer
Wisdom is the principal thing
01:37 AM on 02/04/2012
Well stated, hometown.

F/F.
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elbzee
Fear is the mind-killer
02:15 PM on 02/03/2012
Aren't you glad Romney is not worried about poor people and that the rich are doing just fine?
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Rob O
There is no freedom without responsibility.
01:12 PM on 02/03/2012
By their twisted logic, millions of people willingly lost their jobs or settled for low pay because they decided they could become dependent on the government instead.
04:25 PM on 02/03/2012
That's a brilliant, expressive statement, and totally on the mark.
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Pearlswan
Born in Philly yet my heart's now in Frisco
06:50 PM on 02/03/2012
Just like their grown rich kids do, huh? LOL! Only, in their case, they the grown kids' parents stand for we the people's government. So, to them, we're all a bunch of spoiled rich kids who want to suck off of Daddy's wealth rather than have the dignity of a job and an earned paycheck. Wow! These people really do live in a narcissistic bubble.
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12:42 PM on 02/03/2012
Right on, Robert! Well expressed.
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12:27 PM on 02/03/2012
Chris Christopher, senior principal economist at IHS Global Insight, said that the U.S. economy is now stuck in a catch-22: Companies are not hiring in the U.S. because they do not expect the economy to improve, but the economy will not pick up until companies speed up their hiring. So for now, companies are keeping wages and benefits low while working their employees harder -- because they can. With negative wage growth, the economy is now depending more on the government's transfer payments to people who are struggling to make ends meet. Says quite a bit, doesn't it?
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DanInLA
12:36 PM on 02/03/2012
The economy doesn't depend on government giving people money to make ends meet. That is exactly what is styfling the economy. Afterall, govt. can only give poeple welfare if it takes that money from someone else.
lightnessandjoy
Is micro-bio a new disease?
01:09 PM on 02/03/2012
Google circular reasoning.
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journeyman steve
05:26 PM on 02/03/2012
So will you say the economy depends on money? Spent by people? If you say yes to both, then you need to understand where that money comes from -- free enterprise's payroll in the US has steadily dropped relative to the GDP output. That's money, but it's not going to the economy. Where is it? Bank accounts son. Don't be a DaninLA, be a rocket scientist who can study the flow of money in a system, not ignoring the money, the system nor the system actors.
12:42 PM on 02/03/2012
If prior to the recession you were making $20 an hour with full benefits you would have been considered (lower) middle class. Even at that, your annual salary on a 40 hour week was just $40K per year. See how far $40K a year gets you in the vast majority of this country.

Now that $20 an hour job went away and you were forced to settle for $12 an hour, or about $25K a year for a 40 hour week, with smaller and/or more expensive benefits or none at all. You have now gone from lower middle class to the poor. Likely you need food stamp assistance or housing vouchers just to get by.

This idea that Obama wants people to just sit home, watch Jerry Springer, drink Colt 45 Malt Liquor and collect a welfare check is nothing more than GOP bs.
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12:56 PM on 02/04/2012
Of course it is, but it fits their narrow minded self-serving narratives.
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DanInLA
12:03 PM on 02/03/2012
Obama wants to make sure every poor person is given a student loan to go to college. It's one thing to prop up the value of housing after a bust, but how will Obama prop up the value of education when the bubble pops?
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DanInLA
11:53 AM on 02/03/2012
Americans got clobbered in 2008 with the worst economic catastrophe since the Great Depression because govt. got involved in the housing market, guaranteeing risky loans that should never have been made. People want to blame the banks for this, but why wouldn't banks loan money if the return was guaranteed? It was govt. that decided to meddle in the markets all in the name of helping people. (See..Home Affordability Act, signed by Clinton) Also, when govt. helps people, other people have to pay for it. We have seen this time and time again. The next bubble is education. Once again govt. guarantees student loans to help students. The unintended consequence is that costs go up and those students are on the hook to pay back loans that were not worth taking in the first place. If govt. stayed out of it, tuition would be half the price it is today. The same is true for the price of homes.
01:10 PM on 02/03/2012
Most of the loans made by banks were not guaranteed by the government (that would be FNMA, FHLMC or FHA) they were made as private loans for securitizing mortgage backed securiteis
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Rob O
There is no freedom without responsibility.
01:19 PM on 02/03/2012
The banks did a lot more than make loans. They also committed fraud. They repackaged bad debts into new products and marketed them to half the world as safe investments, while betting against them themselves. It was the massive financial instruments built on top of the loans that put the economy over the edge.

The government failed to adequately regulate the financial industry. There's a revolving door between the regulating agencies and the investment banks, and there's a massive flow of lobbying dollars from the banks to politicians, so no wonder.
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ChiBloger
And the truth shall set us ALL free
11:35 AM on 02/03/2012
Republican Politicians, They outright lie as a matter of course. It is now SOP for them. Worst yet they accuse Democrats of the very same thing they are actually doing or advocating through their policies.
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11:34 AM on 02/03/2012
Yes and they always seem to leave out the point that they received huge corporate welfare payments in the form of tax payer subsidies, rules written in their favor. unfair monopolies etc. ad nauseum. They appear to be a bunch of whiny rich kids throwing tantrums when they don't get their way.
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dcflush
The nickname is about poker, not politics
11:23 AM on 02/03/2012
Republicans want to lower the minimum wage and claim that will create more jobs. Well, it may actually create more jobs, but those are jobs nobody wants. If you can't earn a living wage, what is the point of working hard?

There was a time in this nation when if a person worked hard, at nearly anything, they could earn a living wage and actually even support a family. Low-level jobs even earned enough for those basic functions. However, as unions were eroded and destroyed by the right and as the minimum wage stagnated and as middle-class salaries stagnated and went backwards, those low-level jobs no longer were able to support an individual, much less support a family.

The bottom line is that we need to fund our nation from the ground up. Drastically increase education funding so that even the worst neighborhoods have well educated kids. And so that even the poorest of the good students can go to top notch schools. And we also need to make our lowest level jobs pay a living wage. And lastly we need to provide EVERYONE in America health insurance. Those steps will assure that the vast majority will want to work and can survive on the work that they do find.
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DanInLA
11:41 AM on 02/03/2012
We already have kids graduating college in record numbers and they can't find jobs. Is it because they are uneducated? The reason people can't support themselves on low paying jobs is because of the high rate of taxation and many jobs no longer exists due to the large number of regulations that take away the profitability of such jobs. Furthermore, govt. keeps propping up prices on homes and education with subsidies and that makes those things unafordable.
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dcflush
The nickname is about poker, not politics
12:03 PM on 02/03/2012
Ha!!! Wow, the high rate of taxation is why someone making $8 per hour can't support them self or a family? You're delusional.

And there are millions of jobs in America for which companies say they can't find qualified workers, and thus are getting foreign workers to come to America. This is a problem and shows that we need more qualified individuals graduating from colleges and universities.
lightnessandjoy
Is micro-bio a new disease?
01:12 PM on 02/03/2012
Personal income taxes are at their lowest level in a very long time and the regulations argument has been debunked so many times it's useless even to explain it to you. As to education subsidies, it's a pity you didn't take advantage.
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Berettasskeeter
For what we are about to receive, may we be truly
12:18 PM on 02/03/2012
"... fund our nation from the ground up"?? How does a nation whose government is completely out of money do that?? Rape the wealthy? How long will that last?
Education funding? Our nation has sunk to historic educational lows since the inception of the Dept. of Education. Funding is NOT lacking. What is lacking is real accountability, on the parts of both parents and teachers. Return FULL control to the states and communities, and let them have their money back. Then, they will decide what will be taught. Let the Liberals teach feminist literature, while the Conservatives teach match and English. We'll see which group prospers!
Semper fi
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Timothy Thocher
my doG looked in the mirror and saw God
02:02 PM on 02/03/2012
The government is not out of money. our debt to GDP is less than it was after WW2. We have a serious revenue problem, thanks to teapublican and conservadem policies which allowed US business to profit by destroying the US economy. The Dept of Education built the best education system in the world, until government began eliminating funding. Maybe a little more time spent on education would have provided you with a better grasp of the facts, and a little less hatred for those who think with more depth and compassion than you do.
11:22 AM on 02/03/2012
Bizarro Land logic from the right again. This is like saying malnutrition comes from hunger instead of lack of food.