Welfare and Regulation: The Scam That Protects the Rich

Written by Jacob Hornberger…

In yesterday’s blog post, “Are the Minimum Wage and the Drug War Racist?” I pointed out how the federal government wages war against black teenagers with its minimum-wage laws and its drug laws.

English: Cover of the 2009 print of Man vs the...

Actually, the problem is much worse than that. The entire panoply of programs in the welfare state and regulated economy are an attack against the poor in general, including blacks who lack money and a formal education.

Consider, for example, licensing laws, a subject I have written previously about. Licensing is nothing more than a protection racket, one that protects those who have received occupational licenses from free and open competition.

And guess who gets the licenses. You got it: those with money — those who are able to pay the enormous costs of the educational programs that the state requires to get a license. How many poor people, especially black teenagers, have the thousands of dollars necessary to pay for those programs?

Privilege is the best way to describe the recipients of state licenses. Occupational licensure constitutes a rejection of the concept of natural, God-given rights, including the right to sustain one’s life through labor. It’s based on the notion that the state wields the authority to decide who gets to do what in society. And tough luck for those who aren’t within the privileged class.

There is also the income tax to consider. It’s the means by which the entire welfare-state, regulated-economy way of life is funded. It’s another way to keep poor people in their place.

Read more via Welfare and Regulation: The Scam That Protects the Rich The Future of Freedom Foundation.

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