Uncertainty in benefits; paying people not to work (day 117)

We *need* to fix our healthcare and disability benefit system, where we pay people not to work, pay people to administrate and enforce them not working, and then when they work a certain amount over whatever threshold is set, they lose everything they’ve relied on. Even worse, uncertainty surrounding what that threshold is, so risk aversion encourages avoiding even more productivity.

I know this. It was *taught* in the policy design 101 class. Every policy nerd I know knows this. Most people I talk to or explain it to understand it.

Yet our system still has between hundreds of billions and trillions of dollars administrated this way from a government perspective, and many benefits provided via private employers have similar issues.

Transitioning to a better system without throwing away the old will likely cost trillions of dollars, which was a stumbling block for me at first.

But considering the fed invented and spent over 12 trillion dollars in QE without tanking the economy (ignoring the massive economic recovery and migration concentrated in urban centers, of course), that no longer bothers me. We’re up to our ass in debt, no side is politically willing to do what it takes to pay it off, so we might as well fix fundamental problems that will temporarily cost a metric assload of money to fix while we’re here.

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