The safety net as corporate welfare

Published July 17, 2013 4:00am ET



I believe in a safety net. I think we have a moral obligation to feed the hungry, clothe the naked, and house the homeless. That doesn’t mean I support all federal safety net programs. Often, charity is best handled on a local level or even a voluntary level. One reason: large social safety net programs tend to become one-size-fits-all programs, which can often undermine their intent.

Here’s one example that strikes me as plausible: federal safety net programs end up functioning as wage subsidies for large employers, possibly allowing the large employers to pay less than they would have to pay absent the social safety net program.

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