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Just look at corn and soybeans, subsidized with taxpayer money — creating a market that wouldn’t otherwise make sense. Why? So agribusiness firms have cheap inputs to make processed food. The taxpayers are basically subsidizing corporations to make crap, when we could have grown real food on our own.

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Who subsidizes the consumers will depend upon the incidence of taxation. But men in their role of taxpayers will be subsidizing themselves in their role of consumers. It becomes a little difficult to trace in this maze precisely who is subsidizing whom. What is forgotten is that subsidies are paid for by someone, and that no method has been discovered by which the community gets something for nothing.

We basically used oil and aquifer water to temporarily boost the carrying capacity of the land, all for economic growth demanded by Wall Street investors. It’s a crazy system that only makes sense when you foist all the costs onto taxpayers in the form of crop subsidies that benefit agribusiness, and defense spending to secure fossil fuels. We’re basically paying for corporations to seize control of the food supply and dictate to us the terms under which we live.

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Every special group around the country tries to get its hands on whatever bits and pieces it can. The result is that there is hardly an issue on which government is not on both sides. For example, in one massive building in Washington some government employees are working full-time trying to devise and implement plans to spend our money to discourage us from smoking cigarettes. In another massive building, perhaps miles away from the first, other employees, equally dedicated, equally hard-working, are working full-time spending our money to subsidize farmers to grow tobacco.

All varieties of the producers' policy are advocated on the ground of their alleged ability to raise the party members' standard of living. Protectionism and economic self-sufficiency, labor union pressure and compulsion, labor legislation, minimum wage rates, public spending, credit expansion, subsidies, and other makeshifts are always recommended by their advocates as the most suitable or the only means to increase the real income of the people for whose votes they canvass. Every contemporary statesman or politician invariably tells his voters: My program will make you as affluent as conditions may permit, while my adversaries' program will bring you want and misery.

Patients are being crushed by the devil’s bargain. Between the 6 trillion dollar food industry which wants to make food cheap and addictive and the 4 trillion dollar health care industry which profits off interventions on sick patients and stays silent about the reasons they are getting sick.

(i) Social benefits. When we first started writing about higher education, we had a good deal of sympathy for the first justification. We no longer do. In the interim we have tried to induce the people who make this argument to be specific about the alleged social benefits. The answer is almost always simply bad economics. We are told that the nation benefits by having more highly skilled and trained people, that investment in providing such skills is essential for economic growth, that more trained people raise the productivity of the rest of us. These statements are correct. But none is a valid reason for subsidizing higher education. Each statement would be equally correct if made about physical capital (i.e., machines, factory buildings, etc.), yet hardly anyone would conclude that tax money should be used to subsidize the capital investment of General Motors or General Electric. If higher education improves the economic productivity of individuals, they can capture that improvement through higher earnings, so they have a private incentive to get the training. Adam Smith's invisible hand makes their private interest serve the social interest. It is against the social interest to change their private interest by subsidizing schooling. The extra students — those who will only go to college if it is subsidized — are precisely the ones who judge that the benefits they receive are less than the costs. Otherwise they would be willing to pay the costs themselves.

That’s why you never hear politicians talking about ‘citizens,’ it’s all ‘taxpayers,’ as though the salient fact of your relationship to the state is how much you pay. Like the state was a business and citizenship was a loyalty program that rewarded you for your custom with roads and health care. Zottas cooked the process so they get all the money and own the political process, pay as much or as little tax as they want. Sure, they pay most of the tax, because they’ve built a set of rules that gives them most of the money. Talking about ‘taxpayers’ means that the state’s debt is to rich dudes, and anything it gives to kids or old people or sick people or disabled people is charity we should be grateful for, since none of those people are paying tax that justifies their rewards from Government Inc.

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