Means-Testing and Status Quo Bias
I’m a big fan of means-testing the welfare state, but many of my favorite people disagree. I’ve got a challenge for these hold-outs. Here goes:
Right now we already means-test a lot of programs, such as Medicaid, food stamps, and housing vouchers. Question: Should we make the entire population eligible for these programs, regardless of income and wealth? If not, why not? If you don’t want to transform existing means-tested programs into universal programs, why don’t you want to transform existing universal programs into means-tested programs?
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