Free Republic

A new proposal coming to the Washington Legislature for consideration next year aims to break the cycle of poverty that’s trapped families like Bereskin’s and lift future generations of low-income residents toward a path of financial independence. The Washington Future Fund would create a pool of money that every child born under the state’s Medicaid program, Apple Health, could access a portion of upon adulthood to use toward homeownership, education or pursuing a small business. The trusts are intended to even the financial playing field for lower-income residents by providing a chance to catch up to their wealthier peers. Beginning...

“Baby bonds” have become one proposal to help close the racial wealth gap between Black and white families in the United States. Unlike regular bonds, they’re not a debt instrument traded in the public markets. Instead, the policy proposal creates a federally funded trust fund account for every newborn baby in the U.S.

For too many politicians and presidential hopefuls, a free college education is a cure-all for inequality in America—so long as the federal government can pour enough money into it. Democratic presidential hopeful Sen. Cory Booker (D-NJ), for instance, has opted to make “baby bonds” the centerpiece of his campaign. Under this policy, fleshed out in recent weeks, lower-income children would be given a large nest egg by the federal government which could be used for eligible expenses, such as a college education. But whether through redistribution or bloated administrative policies, pumping more money into America’s universities will simply drive college...