Saturday, August 6, 2011

Cost shifting in entitlements

From a Thoma post on entitlement cost shifting from the federals to the children:
You get the idea. It is not obvious that everyone else will be better off if you reduce income protection programs. The costs stay the same; they just shift.Tim Duy quoted by Thoma
No costs are not the same. Efficiencies change, maybe for the worse maybe not.

But he brings up a point, there is cost shifting in entitlements, they will not disappear in a federal bankruptcy. The issue is shift to where an what entitlements should be shifted.

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