« Links for 02-09-2014 | Main | Links for 02-10-2014 »

Sunday, February 09, 2014

Who Benefits from Benefits?

Chris Dillow:

Who benefits from benefits?: In the "debate" about welfare benefits, there's one point which is underweighted but so obvious that I'm embarrassed to mention it - that some form of welfare is beneficial not just to its recipients, but to capitalists.
Rightists like to point out - correctly - that the burden of taxes doesn't necessarily fall upon those who nominally pay it: corporation tax, for example, is paid by workers and not just capitalists.
But just as there's tax incidence, so there is benefit incidence; the benefits of benefits don't flow merely to their nominal recipients. ...

    Posted by on Sunday, February 9, 2014 at 08:52 AM in Economics, Social Insurance | Permalink  Comments (79)


    Feed You can follow this conversation by subscribing to the comment feed for this post.