Reading the Caplan-Beaulier paper

Can I comment in real time?
Starting with the introduction.  My problem is that welfare reduces choices available to the poor, it leaves them with fewer alternatives.  This goes back to the idea of limited channel capacity, when central government wage supplements increasing dominate a limited channel, there are fewer wage setting for the poor to climb the ladder.

Behavioral theory, my kind, says that we respond to external cues.  The paper points out the conflict between short term and long term cues among the poor.  The gap is the loss of intermediate cues provided by the market.  It is large government systems that force the wage channel to bifurcate, for a while.  But eventually the channel reverts to its maximum entropy state, leaving the poor stuck with one of a few bad choices made earlier, while the intermediate choices are restored for the rest.  So, under the Clinton/Gingrich welfare reform, government planners were suddenly faced with untrained welfare mom's who were stuck with a prior choices limited by government.

OK, I read it.