How Government Welfare Programs Are Immoral and Hurt Everyone, Including the Poor

US Federal Government spends 19% of its budget on overt welfare programs, (including Medicaid).

In 2016, the US Federal Government spent $740 billion, or 19% of its budget, on overt welfare programs, (including Medicaid). It spent $1.57 trillion on Social Security and Medicare. Together these make up 60% of its budget. (Source)

A very common view today is that the government needs to provide welfare programs for the poor. This is the view that “redistribution of wealth to the needy” is a noble project, and such “government assistance” is necessary to keep people from starving in the streets.

This essay will challenge and refute this view. In Ayn Rand’s ideal society, under laissez-faire capitalism, there would be no welfare programs, and this would be a good thing.

The people who didn’t vote for welfare programs, yet are taxed to support them, did not consent to the taking of their money. They signed no “social contract,” and simply living near other people does not give those other people a right to take their money. If you doubt this, watching this short video should be helpful:

Welfare programs are immoral for the same reason that three people using guns to force a fourth to pay for all their dinners is immoral: It’s an injustice that violates the rights of the victims. It has the same moral status as a robbery.

Yet people still attempt to justify using government to “redistribute” (steal) money by force, by appealing to alleged good consequences that result from the practice. The main line of argument is that welfare benefits are needed to prevent the poor from starving, while wealthier people can “afford” to have a corresponding amount of money taken out of their incomes. Thus, the argument goes, there is a net “social benefit” to welfare redistribution.

This argument is wrong on four counts:

  1. Welfare is not needed to keep good people from starving.
  2. The effect of redistribution on the wealthy should not be thought of in terms of whether they can “afford” it.
  3. There is no such thing as a “social benefit,” in the way this argument assumes.
  4. Even if we dismiss the idea of “social benefit,” the argument falsely assumes that the “beneficiaries” of welfare really benefit, overall, from redistribution.

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Ethical Theories Summarized & Explained: Consequentialism, Deontology, Virtue Ethics, and Objectivist Ethical Egoism

The purpose of this article is to explain different ethical theories and compare and contrast them in a way that’s clear and easy for students to understand. There are three major categories of ethical systems that students typically learn about in philosophy classes: consequentialism, deontology and virtue ethics. I will describe all of them briefly, then describe each one of them in more detail, pointing out their defining features and major variants. I’ll then discuss the nature of Objectivist Ethical Egoism and how it compares and contrasts with each of these types of ethics.

The Ethical Theories: Brief Summary

Consequentialism names a type of ethical theory that judges human practices, like actions or rules, based on their consequences. Human practices that produce good consequences are morally right, while ones that produce bad consequences are morally wrong. Roughly speaking, a consequentialist says that you should do certain things, because those actions produce good consequences. By far the most common historical variant of consequentialism is Classic Utilitarianism. Classic Utilitarianism was advocated by such philosophers as Jeremy Bentham and John Stuart Mill.

Deontology names a type of ethical theory that judges human practices based on whether they are consistent with certain duties that the theory holds as intrinsically moral. Consequences are irrelevant to a fully deontological theory. Deontological theories tend to focus on the motives of actions, and whether a given action was motivated by duty or something else. In many deontological theories, motivation by moral duty itself–rather than other factors, like self-interest–is essential to an action’s being morally right. An advocate of deontology says that you should do certain things, just because those things are the right things to do, (they “align with duty.”) The originator of deontology as a formal theoretical framework was the German philosopher, Immanuel Kant. Later advocates have included W.D. Ross, Robert Nozick and Christine Korsgaard.

Virtue ethics names a type of ethical theory that takes virtues of character, rather than individual actions or rules, as the most fundamental ethical concepts. Moral virtues like honesty, courage, integrity, temperance and generosity are taken to be inherently good first, then actions are evaluated based on whether they express those virtues. That is, do the actions match what a virtuous person would do in those circumstances? Basically, a virtue ethicist says that you should do certain things, because they are examples of good character. Modern virtue ethics takes inspiration from the moral theories of Ancient Greek philosophers like Plato, Aristotle, and the Stoics, (especially Aristotle.) Prominent advocates include Christine Swanton, Rosalind Hursthouse and Alasdair MacIntyre.

Objectivist Ethical Egoism, unlike the other terms here, names one specific theory. It takes human life as the abstract or general standard of moral evaluation. Roughly speaking, that which promotes human life is the good, that which damages or destroys it is the bad. Because Objectivism, the whole philosophy from which this ethics springs, views human life as fundamentally individual–needing to be lived, maintained and enhanced by each individual through his own action–Objectivist Ethical Egoism (OEE) takes each individual’s own life as his own effective standard of value. That which promotes the individual’s own life overall is the good for him, that which damages or destroys his own life is the bad for him.

But OEE does not simply say that actions that end up promoting your life are moral, and actions that end up damaging it are immoral. Objectivism holds that the fundamental job of morality is to guide human choices in the context in which they are made. Objectivism accepts the obvious truth that humans are not omniscient, and so cannot predict all the exact consequences of their actions in advance. It says that the way humans gain general or conditional knowledge–knowledge that can be applied to predict future consequences–is by forming rational principles from empirical observation and experience. In the field of morality, this means deriving rational moral principles from experience. These principles are general statements of fact that are then applied to particular situations to determine a proper course of action. Thus, OEE says that a chosen action is moral, if and only if it represents a proper application of a life-promoting moral principle to the acting individual’s current circumstances.

Among the principles that OEE holds as true are the idea that the rational self-interests of individuals do not conflict, and that initiating force against others (murder, slavery, theft, etc.) is destructive not only to the victims’ lives, but also to the perpetrator’s.

Basically, Objectivist Ethical Egoism says that you should do certain things, because those things actually support and/or enrich your own life. OEE is Ayn Rand’s highly distinctive theory that is widely misinterpreted by academic philosophers and the general public. It has been advocated and explained by such philosophers as Leonard Peikoff, Tara Smith, Allan Gotthelf and Gregory Salmieri. I will discuss OEE’s relationship with the three ethical categories, and whether it can be considered a member of any of them, when I discuss it in more detail later in this essay.

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A List of Voluntary Ways to Fund a Government

US Capitol Building. Represents politics and government.Here’s a list of possible ways I’ve thought of or heard to fund government, without the government initiating force to collect taxes:

  1. Fees for government enforcement of contracts. This was Ayn Rand’s idea.
  2. A lottery.
  3. If a court finds a party at fault in a civil judgment, it collects a small fee from that party to help pay court costs.
  4. Courts impose fines on those who are convicted of misdemeanors and felonies.
  5. Imprisoned convicts work and help maintain prisons in order to receive food and luxuries above a bare minimum to keep them alive. The best-behaved might work on/maintain other government buildings.
  6. A small annual fee might be required for someone to maintain citizenship. Non-citizens would still be protected by the government in its jurisdiction, but would not be able to vote for government officials, and wouldn’t receive US government protection when traveling internationally.

These are, of course, in addition to any straight donations, which Yaron Brook discusses in this video:

Feel free to leave any other ideas in the comments.

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Related Posts:

How to Show That Taxation is Robbery

Wealth is Created by Action Based on Rational Thought

An Objectivist Refutation of Anarcho-Capitalism (Market Anarchy)

Why Moral Theory is Needed in the Fight for Liberty, Not Just Economics and the Non-Aggression Principle

Socialism and Welfare vs. Justice: Why Inalienable Private Property Rights are Required for Justice

How Christian Morality Promotes Despotism Over Liberty

The Statue of Liberty. Lady Liberty needs moral theory for support.Many Christians, especially conservatives in the US, will tell you that Christianity is compatible with liberty. Some will even say that it’s the foundation of liberty. After all, isn’t one of the Biblical Commandments, “Thou shalt not steal”? So the people in government have no business stealing through coercive taxation. And didn’t Jesus practice non-violence and admonish followers to give to the poor themselves, rather than forcibly taking money from others to donate? What business do the people in government have doing this, if they’re going by Christian morality?

Yet the countries of Europe have a long history of dictatorial rulers, while seeming to be very heavily Christian. In the Middle Ages, feudal lords ruled over their subjects–especially serfs–with near-absolute power. Kings and popes strove to maximize their authority over their subjects, to rule as Christian monarchs. In the 17th Century, the Christian king of France, Louis XIV, was especially successful at becoming an absolute monarch. The pope was extremely powerful, often like a monarch in his own right. This continued, even as priests and noblemen knew about the Roman Republic of antiquity.

Woman being burned at the stake

Burning at the stake was one of the punishments for heresy or witchcraft. It was used as punishment for these “crimes” up to 1,300 years after Christianity first dominated Europe.

During the Middle Ages, and even into the Renaissance, the Roman Catholic Church put people on trial for “heresies,” (differences of religious belief) and if they were convicted, they were handed over to civil authorities to be imprisoned, hanged, or burned at the stake.

Persecution for heresy was not even limited to official acts carried out by the civil/religious authorities. Ordinary people–commoners and peasants–sometimes formed mobs and burned alleged heretics themselves, without trial.

Popes sanctioned wars of conquest, like Charlemagne’s wars to conquer Saxony and Lombardy, the Norman invasion of England in 1066, and multiple crusades to conquer the Holy Land.

Even after the Protestant Reformation, there were Protestant despots like King Henry VIII and Oliver Cromwell of Britain, and Charles IX of Sweden who were cruel and tyrannical, and who violated the religious freedoms of their subjects. Religious wars continued to rage across Europe, such as the Thirty Years’ War.

Martin Luther portrait

Martin Luther supported the death penalty for anyone guilty of blasphemy.

All of this occurred during a deeply religious and almost universally Christian era in Europe’s history. By virtually every measure, people during the 1,300 years between the fall of the Roman Empire and the Enlightenment, were far more religious than in the past 300 years. They went to church more often, prayed more often, relied on the Bible more, were less concerned about earthly life and more concerned about whether they were headed for heaven or hell. They became passionate and even violent over religious disputes, and most of them had no tolerance for heresies, paganism, or atheism. (Atheism was basically unheard-of.)

Was all of the oppression and war some bizarre, inexplicable, 1,300-year fluke of history? Did a crazy corruption of Christianity somehow reign for 1,300 years, amid widespread and profound religiosity?

In the rest of this essay, I will argue that these 1,300 years were no fluke and no corruption of the fundamental ideas of Christianity. What may seem like a corruption to some superficial, modern interpretations of Christian ideas, is in fact a logical consequence of the deeper ideas of Christian morality. Christian morality ultimately supports statism and oppression of the individual, not liberty and individual rights.

The two major moral tenets that support statism are: self-sacrifice for others, and faith.

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How Economic Regulation Causes Cronyism and “Regulatory Capture”

Kronies action figures - They're Konnected!I’m very much pro-capitalism. However, I agree with Bernie Sanders and many of his allies on the American Left about something. I agree that cronyism is a serious problem in the US. Businesses should not get special favors and money from the government that they didn’t earn. But where Bernie and friends seem to think the solution to cronyism is more government regulation and control, I think cronyism is a symptom of too much government regulation and control. I think the solution is purer capitalism, which means freer markets. In this essay, I’ll explain why I think this, and how I think government regulation of the economy causes cronyism, lobbying and “regulatory capture.”

Let’s start by observing a correlation: Cronyism and lobbying tend to show up in the most regulated industries, not the least regulated. Finance in the US is heavily regulated–by no fewer than eight federal agencies–and the government protects and bails out big banks. Pharmaceuticals are controlled by the FDA, and the FDA often keeps smaller competitors out of the market. Whether a sports team can build a stadium is practically controlled by the city government, and team owners typically get a bonanza of special deals and subsidies from the city. Cronyism was virtually non-existent in the less-regulated tech sector, until the government pursued the anti-trust case against Microsoft. Now, Microsoft has a division in Washington D.C. for lobbying purposes. (Apple and Google now both lobby, too.) In general, retail stores are not very heavily regulated, and there’s not a significant issue of cronyism in that field.

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What BioShock Gets Wrong About Ayn Rand’s Objectivism

The bust of Andrew Ryan at the start of BioShock: "No gods or kings. Only Man."The original BioShock was a game released in 2007 by 2K Games. The main antagonist was Andrew Ryan, a “business magnate” who founded an underwater city, called Rapture. He was supposed to be guided by the same philosophy that Ayn Rand advocated in her novels and non-fiction books. Ayn Rand called this philosophy “Objectivism.”

I have played through the original BioShock and found all the recordings in the game that tell the backstory. I have also studied Ayn Rand’s philosophy of Objectivism for over 15 years, so I’m well qualified to comment on how accurately the game represents the philosophy.

The remastered version of the BioShock series was recently released, so I decided to take this moment to comment.

I find that BioShock seriously misrepresents Objectivism. One way it gets Objectivism wrong is in Andrew Ryan’s attitude toward morality. In his introductory speech in the game, Andrew Ryan says,

I chose… Rapture. A city where the artist would not fear the censor; where the scientist would not be bound by petty morality; where the great would not be constrained by the small!

Here Ryan dismisses morality as petty and insignificant. This was most definitely not Ayn Rand’s attitude toward morality. She was very concerned with morality, and morality is a central part of Objectivism as a philosophy. Any person who seriously agrees with her philosophy also takes morality very seriously, because it’s an extremely important guide to life. Objectivism has a whole code of values and virtues that it says people need to follow to achieve a good life and genuine happiness. (You can find out more about Ayn Rand’s ethics starting here and here.)

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What I’d Like to See Gary Johnson Say to Bernie Sanders Supporters

Gary Johnson - Let Gary Debate - #letgarydebateWhat I want to see presidential candidate, Gary Johnson, say to those who supported Bernie Sanders in the Democratic primary:

So Bernie Sanders and I mostly agree on what are generally called “social issues.” We both support gay marriage, drug decriminalization, the right of a woman to choose abortion, etc. Where we differ is in what is generally called “economic policy.” Bernie wants more taxes and regulations on “millionaires and billionaires.” He says that large gaps in income and wealth are “wrong, immoral, and not what America should be about.” But why? When someone makes more money than I do, and he does it honestly, without stealing and without government favoritism, I say “Good for him” or “Good for her,” not “How dare that person be rich; I’m gonna cut that bastard down to size with taxes and regulations.”

But high inequality is inherently bad economically, you say? It contributes to stagnation? There’s no good reason to think so.

Studies that supposedly show that higher inequality reduces growth generally find tentative results that are very susceptible to the authors’ biases. They generally tend to ignore the fact that there are different kinds of economic inequality that there is strong theoretical reason to believe have very different impacts on growth. For example, there is the sort of inequality that results from government favoritism, as in the Saudi royal family and the Russian “oligarchs,” and the sort of inequality that results from free and voluntary trade, as in the case of Steve Jobs and Bill Gates.

When we look at the big picture, we find that many countries that have high wealth inequality also have high GDP per capita and high economic growth. If we look at West Germany and East Germany in the 1970s and ’80s, we see two very culturally and geographically similar societies. West Germany was a relatively free market with relatively high wealth inequality, while East Germany was a society where the government tried to enforce wealth equality. West Germany was clearly better off than East Germany, economically.

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