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Global Economy
by tj on March 17, 2004
The Economist has found new ideas in a book from Alberto Alesina and Edward Glaeser about the long conflict between Europe and US.
"Nothing better encapsulates the different attitudes of America and Europe to the poor than a table towards the end of Alberto Alesina's and Edward Glaeser's remarkable book*, due to be published later this month. It compares the prevalence of three beliefs: that the poor are trapped in poverty; that luck determines income; and that the poor are lazy. The first is held by only 29% of Americans but by 60% of citizens of the European Union; the second, by 30% of Americans and 54% of Europeans; and the third, by contrast, by 60% of Americans and 24% of Europeans."In my eyes as a liberal it appeals much more to let people choose when and how they want to give. Strong competition of various welfare non-profit organizations and competition of for-profit insurances are a much better economic decisions, than redistributing large amounts of taxes through public hands, let's see how long Western European welfare systems can tackle the issues of strong migration and aging populations...
"Government spending in the United States is about 30% of GDP; in continental Europe, where it includes most health-care spending, it is about 45%. Almost two-thirds of this spending is on welfare. Americans, by contrast, are much more likely to give money privately. They appear to have given $691 per head in charitable donations in 2000, compared with contributions of $141 in Britain and a mere $57 in Europe as a whole."
Permalink: why welfare?
Trackback: http://publish.creative-weblogging.com/publish/mt-tb.pl/1212
Mr Wong
Vote for why welfare?:
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Rating: 8.00 out of 1 vote(s) cast.
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Response from:
david foster
(03/17/04 6:16pm)
The agreement/disagreement with the statement that 'the poor are trapped in poverty' may reflect not only attitude differences, but actual differences in social mobility between the countries.
Response from:
TJ
(03/18/04 4:37am)
Right this might be another reason. However it is difficult to roam around in Europe compared to the US. It is for instance much easier for most Europeans to live in th US for some years than going to another place in the EU. The biggest difficulty is language (Europeans expect you to be perfect in a language if you starting working) and bureaucracy that is making the mobility an issue...
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