July 1, 2015

Conservative reformers make a common sense argument that giving people more free welfare entitlements removes the incentive to work.

ObamaCare’s Medicaid expansion is a good example of killing work incentives according to the Congressional Budget Office. The Wall Street Journal reports ”In addition to concluding that the law as a whole will reduce the size of the labor force by the equivalent of approximately 2.3 million full-time workers in 2021, the Congressional Budget Office specifically has found that “expanded Medicaid eligibility under [the law] will, on balance, reduce incentives to work.” (6/12/15)

And the Obama Administration is dead set against any work requirement. The article continues “The Obama administration has rejected requests from states to impose work or job-search requirements in conjunction with the Medicaid expansion. While the administration has claimed to offer flexibility to states when it comes to altering the Medicaid benefit, it has steadfastly refused to consider any mandatory work or job-search requirement. Given the CBO’s analysis, the administration faces a rhetorical challenge in explaining how expansion can benefit the economy yet simultaneously reduce incentives to work—particularly as it declines to give states the ability through work requirements to mitigate against those disincentives.”

Work is the answer to getting out of poverty. Why discourage it?

ObamaCare Medicaid expansion illustrates the difference between Democrats and Republicans.

Republicans want people to get a chance to earn their way out of poverty while Democrats are content with the welfare entitlements that trap people in desperate lives in poverty.