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Greatest Expansion of Social Programs in U.S. History
NewsMax.com ^ | 3/14/2006 | Jim Meyers

Posted on 03/15/2006 7:50:49 AM PST by Pookee

The expansion of benefit programs since 2000 has led to the greatest increase in social spending in American history – with entitlement programs now accounting for more than half of all federal spending.

A USA Today analysis released Tuesday of 25 major government programs – including health care, college aid and food stamps – revealed that enrollment surged an average of 17 percent from 2000 to 2005, while the nation's population increased by only 5 percent.

It marked the largest five-year growth in enrollment since Medicare, Medicaid and other social programs were created during Lyndon Johnson's "Great Society" movement in the 1960s.

Spending on social programs was $1.3 trillion last year, an inflation-adjusted increase of 22 percent since 2000, according to the USA Today report.

Enrollment growth accounted for most of the spending increase:

The worse may be yet to come: The nation's 79 million baby boomers will begin to qualify for Social Security in 2008, and for Medicare in 2011.

The Nightmare of Medicaid

As NewsMax reported last year, the extension of taxpayer-funded Medicaid to the working poor has been the single largest factor in the greatest expansion of government entitlements since the Great Society was launched in the 1960s.

The soaring costs of Medicaid – which more than doubled last year to close to $330 billion since 1999 – is largely due to legislation that extended Medicaid coverage to many Americans who have low-paying jobs.

The government's free health-care offering swelled Medicaid's numbers as many low-income workers are choosing Medicaid rather than insurance from their employer because it is free or nearly free and often provides more benefits.

The result has been a staggering growth in the welfare state – as the federal government has become the health insurer of 100 million Americans – about one of every three citizens.

The growth of the health entitlement program – which critics say has become national health care by stealth – has been embraced by both Republicans and Democrats.

President Bush has even proposed $1 billion in spending for the next two years "to encourage eligible families to sign up for Medicaid," USA Today noted.

Some experts blame the growth of Medicaid on 1996's landmark welfare reform legislation, which moved millions of welfare recipients off the welfare rolls and into low paying jobs.

To make sure these newly employed didn't lose free health benefits, the federal government enacted legislation to extend Medicaid to lower-incomed workers.

"Health coverage has been a costly side effect of welfare reform," the newspaper disclosed.

Now a great number of workers – many of whom were never on welfare - can also sign on for free health care.

Under federal rules, a family of four can earn as much as $40,000 a year in most states and still get government health insurance for children.

The Medicaid program has grown from covering 34 million individuals in 1999 to 47 million last year, and Medicaid costs have soared from $159 billion in 1997 to $295 billion in 2004 – an increase of 85 percent.

This year Medicaid spending is projected to hit $329 billion. Added to the staggering costs are new rules that provide Medicaid to illegal aliens – tacking on another $2.5 billion to annual costs.

Critics say Medicaid's expansion is adding to the crushing Federal deficit and luring workers from insurance plans offered by employers.

Supporters, on the other hand, maintain that Medicaid will prevent higher costs in the future by reducing emergency room visits by the uninsured.

But the expansion of benefits to low-income workers has made federal and state taxpayers "the health insurance provider for millions of workers at Wal-Mart, McDonald's and other low-wage employers," USA Today reports.

The federal government pays 59 percent of Medicaid costs; the states pay the rest. The rising costs are crushing many states, who say rising health costs are contributing to deficits.

Medicaid enrollment now even outpaces enrollment in Medicare, and many states are spending more on Medicaid than on anything else, including education.

Said Michael Cannon, director of health-care studies at the Cato Institute: "Shame on us for creating perverse incentives that cause people to give up private coverage for Medicaid."


TOPICS: Government
KEYWORDS: biggovernment; medicaid; medicare; socialprograms; welfare; welfarestate
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We always joke that it's Bush's fault - now we can say it without the wink.
1 posted on 03/15/2006 7:50:53 AM PST by Pookee
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To: Pookee

thank you republicans.


2 posted on 03/15/2006 7:53:59 AM PST by philsfan24
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To: Pookee

Bush proposed Social Security reform. Democrats and spineless republicans said "no."

The wink stays.


3 posted on 03/15/2006 7:56:59 AM PST by lonestar67
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To: lonestar67
Bush proposed Social Security reform. Democrats and spineless republicans said "no."

These bums are playing with dynamite!!

When the economy collapses......they will be easy to find and punished.

4 posted on 03/15/2006 8:00:37 AM PST by CROSSHIGHWAYMAN (Toon Town, Iran...........where reality is the real fantasy.)
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To: Pookee
Absolutely Bush's fault. His liberal agenda while saying he is conservative. He has spent more money than a drunk sailor on liberty, more than Klinton spent. Right, tax cuts, and deeper national debt because of his spending. The education bill rip off, the farm bill, prescription drugs, on and on and on. AND NOT ONE DANGED thing has he done about illegal immigration, the one thing that is eating away our tax dollars every second.
5 posted on 03/15/2006 8:05:06 AM PST by RetiredArmy (Democrats: The communist, socialist, and Al Qaeda loving party of America.)
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To: philsfan24

I now call them hte respendicans.


6 posted on 03/15/2006 8:06:11 AM PST by TXBSAFH (Proud Dad of Twins, What Does Not Kill You Makes You Stronger!!!!!!)
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To: lonestar67

Bush proposed reform, but it would do little good at this late date. This country is headed for bankruptcy, there is no way to avoid it. The budget when Clinton was in office is equal to the cost of social programs in '06 + debt payments. In 20 years, 100% of taxes received, will be needed to pay social services at the current rate. The debt service load will be at a trillion a year. I am sure we can grow out of this with tax cuts and a growing economy. (sarcasm off)


7 posted on 03/15/2006 8:07:03 AM PST by jeremiah (How much did we get for that rope?)
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To: lonestar67
"Bush proposed Social Security reform. Democrats and spineless republicans said "no.""

True that Bush tried to reform Social Security but I am not aware of any action on cutting Medicaid, Welfare, and the others.
8 posted on 03/15/2006 8:07:50 AM PST by Pookee
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To: lonestar67

Bush proposed Social Security reform. Democrats and spineless republicans said "no."
-----
The word "reform" is a very bad word -- every time it gets applied to some effort in Washington, it ends up costing the taxpayers even more money. The term "partial privitization" is a far better term and more accurate - :-).

The libs and RINOs do not want to give up one cent of the SS TAX, yes, I use the word tax, since it is, because they SPEND EVERY CENT OF IT every tax year...therefore it is a tax. Certainly not the ruse that Washington ran for so long saying there was an SS trust fund -- such a total lie -- a stack of never-to-be-paid IOUs is our SS trust fund.

Yes, Bush tried. Sort of. But Washington is drunk on our tax dollars, especially the socialists, so forget taking a single tax dollar away from them --- their worst nightmare. Money is power and power is all they care about anymore.


9 posted on 03/15/2006 8:09:13 AM PST by EagleUSA
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To: Pookee

You guys gonna moan endlessly that these twits won't do what they're elected to do, or actually throw them out and put people up there that will.


10 posted on 03/15/2006 8:10:26 AM PST by Havoc (Evolutionists and Democrats: "We aren't getting our message out" (coincidence?))
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To: Pookee
The expansion of benefit programs since 2000 has led to the greatest increase in social spending in American history – with entitlement programs now accounting for more than half of all federal spending.

This is the result of a Republican majority in both the Senate and the House, as well as a Republican White House.

Absolutely, dishearteningly disgusting.

11 posted on 03/15/2006 8:10:36 AM PST by TChris ("Wake up, America. This is serious." - Ben Stein)
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To: Havoc
"You guys gonna moan endlessly that these twits won't do what they're elected to do, or actually throw them out and put people up there that will."

I agree wholeheartedly. Complaining does no good without proposed solutions. What realistic candidates are there who will take a stand on this issue like Reagan did?
12 posted on 03/15/2006 8:17:14 AM PST by Pookee
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To: Pookee

Hey, look at this way. He out-strategerized the Dems on social spending. Now voters know they can suckle at the public teat just as much with Republicans in charge.


13 posted on 03/15/2006 8:20:41 AM PST by Wolfie
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To: Pookee; RetiredArmy; philsfan24; CROSSHIGHWAYMAN; TXBSAFH
If you think we, as a country, are going back to 1776, you are sadly mistaken.


The majority (those folks that decide what they want in elections) are for more services, not less. They could care less who pays, and even less than that, if we should we go bankrupt.

Them's the facts, like it or don't.






14 posted on 03/15/2006 8:21:54 AM PST by G.Mason (Duty, Honor, Country)
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To: G.Mason

Time to stop paying then. I don't want to be a slave forced to pay for the largess of others.


15 posted on 03/15/2006 8:25:01 AM PST by Dead Corpse (I believe that all government is evil, and that trying to improve it is largely a waste of time.)
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To: Pookee

I can't read the whole article because it will upset my digestion and my composure.

This is not only criminal but it ruins lives. It ruins people to turn them into takers. Depending in gov't money creates and maintains tremendous evil and turns people into pimps and prostitutes (metaphorically speaking).

Who to vote for if the Repubicans are shoving the Democrats out of the way to become the biggest pigs at the trough?


16 posted on 03/15/2006 8:27:44 AM PST by little jeremiah (Tolerating evil IS evil.)
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To: EagleUSA

"Money is power and power is all they care about anymore."

With the added benefit of creating hell on earth. Which also attracts their minds.


17 posted on 03/15/2006 8:31:19 AM PST by little jeremiah (Tolerating evil IS evil.)
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To: Dead Corpse
"Time to stop paying then. I don't want to be a slave forced to pay for the largess of others."


Okay.

In the interest of fairness, truth, and the American way ... explain just how we accomplish that feat.






18 posted on 03/15/2006 8:31:42 AM PST by G.Mason (Duty, Honor, Country)
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To: Pookee

I continue to be amazed that so many Freepers think the Republicans are the same as democrats in regard to spending. Yesterday the AP ran an article showing the Bush administration is being more stingy with emergency disaster loans than any administration in history.

Bush did try to privatize part of social security.

Kerry and a democrat congress would have fully nationalized health care by now and created exponentially more entitlements.

It is apparent that their is a wide differential between the House and Senate. The House is somewhat sane. The Senate has almost no fiscal conservative values. It is quite difficult to change senate seats. We face a tyranny of 100 presidential wannabes.

It can be done but it requires sustained effort directed at changing the senate.


19 posted on 03/15/2006 8:34:42 AM PST by lonestar67
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To: G.Mason
Thank you Bowinkle J. Moose for your fine insight. I never said anything about going back to 1776. I said something about Bush's spending. How you got to 1776 is beyond me. Enjoy your orbit.
20 posted on 03/15/2006 8:35:12 AM PST by RetiredArmy (Democrats: The communist, socialist, and Al Qaeda loving party of America.)
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