Wednesday, March 5, 2014
Paul Ryan Tells Us That Medicaid Is Responsible For Unemployment
Paul Ryan cites economic research that leads him to conclude that Medicaid is responsible for unemployment. The assumption is that those who qualify for Medicaid choose not to work because they receive free healthcare from the government. Paul Krugman read the literature that Ryan cited and he is using that literature to show his students that Medicaid, and other government programs like food stamps, are not responsible for unemployment. Ryan, of course, is not trying to convince folks like Paul Krugman that government safety nets cause unemployment. His conclusions will be broadcast to an audience that has not read the literature. Many will welcome Ryan's conclusion because it reinforces their belief about the economic "distortions" that result from income redistribution. They do not want the government to encourage the lazy poor to remain lazy.