The baby bonds are the most interesting part of this project, but it's hard to imagine what impact that would really have. Families that can afford to put an extra couple thousand away likely have the means to set those accounts up themselves.
True, their power will be in the contribution and compound growth. However the policy has no incentives, that I have seen, for families to continue to contribute. How much will 1,000 compounded for 18 years at 8% rate yield? $3,996.02
So much. Anyway, cuppla things: 1. $1000 for a baby is not much, and will not even move the needle on births in the US. Immigration is a MUCH better solution for the US lack of workers. That said, baby bonds are a good idea. 2. The problem with the work requirement for Medicaid is NOT the requirement to work! It is the paperwork needed to, as the Russians said about Soviet paperwork, "prove that you are not a camel."
1. True, but the 5K contributions could add up. Will those contributions receive preferential treatment to incentivice contributions? 2. The Administrative Burden is another way to reduce use of the social safety net, and it works.
This bill is deleterious for almost all Americans. It bothers me a little that people are not more worried about it. I am hopeful that I get proven wrong, but even the CBO said that with will inflate the debt over the next 10 years. In my opinion some politicians are selling their constituents for a price. I hope I am wrong and this works out but basic economics doesn't show a high chance of success.
The baby bonds are the most interesting part of this project, but it's hard to imagine what impact that would really have. Families that can afford to put an extra couple thousand away likely have the means to set those accounts up themselves.
True, their power will be in the contribution and compound growth. However the policy has no incentives, that I have seen, for families to continue to contribute. How much will 1,000 compounded for 18 years at 8% rate yield? $3,996.02
So much. Anyway, cuppla things: 1. $1000 for a baby is not much, and will not even move the needle on births in the US. Immigration is a MUCH better solution for the US lack of workers. That said, baby bonds are a good idea. 2. The problem with the work requirement for Medicaid is NOT the requirement to work! It is the paperwork needed to, as the Russians said about Soviet paperwork, "prove that you are not a camel."
1. True, but the 5K contributions could add up. Will those contributions receive preferential treatment to incentivice contributions? 2. The Administrative Burden is another way to reduce use of the social safety net, and it works.
This bill is deleterious for almost all Americans. It bothers me a little that people are not more worried about it. I am hopeful that I get proven wrong, but even the CBO said that with will inflate the debt over the next 10 years. In my opinion some politicians are selling their constituents for a price. I hope I am wrong and this works out but basic economics doesn't show a high chance of success.
Happy 4th All!
Ha ha, you may have some sampling bias in your poll....
Possible. Most of my readers are interested in economics. So far, the responses are for the extreme outcomes.