2014-12-06

Subsidy Is A Warm Gun

"Subsidies themselves create a pool of money out of which recipients can influence the very political process that channels money to them in the first place. In many instances subsidies redistribute wealth from a large number of unknowing contributors to a smaller number of beneficiaries. The latter lobby vigorously to defend their handouts; the former seldom bother, or are empowered, to prevent them.

Finally, the bureaucracy itself can present an obstacle. Government ministries rarely admit to having a vested interest in the continuation of the support programmes they administer, but it is hard to imagine total disinterest being the norm. More subtly, the bureaucratization process often feeds a pervasive notion that the subsidised activity forms part of the natural order of things. Subsidies thus metamorphosize into entitlements, and any attempt to curb them becomes politically hazardous."

It can be addictive like caffeine or heroin.

Not a fan. They're wasteful and waste is a sin.

Read in the papers a consultant defending the Bixi bike programs pointing to the good it gives society from reducing pollution to a healthy way to travel to reducing traffic in city centers. So even if it can never be 'cost-neutral' (as most of these enviro-schemes absurdly claim to be) or even profitable, the intangibles make it all worth it according to this person.

Perhaps (although I profess ignorance as I have not investigated it) but personally I think it's a specious claim. If it's such a good idea and great for us let it stand on its own two feet. Not interested in seeing my income taxes increased only to be wasted. All I get out of it is less money in my pocket.

Oh, T.C. There you go being selfish and greedy again failing to see another person's big picture.

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