Is Opportunity.gov an Oxymoron? Obama announces education help for unemployed
President Obama possesses the lofty goal of helping unemployed Americans go back to school.
He outlined a plan under which the Department of Education will send colleges legal guidance, encouraging them to increase financial aid packages for the unemployed. What is really sweet is that they can enroll in educational and training programs and still keep their unemployment benefits.
Adding extra icing to the cake, Obama’s initiative allows colleges to consider a person’s current financial situation, making it possible for them to receive Pell grants, which are available for low-income students. Throwing some cherries on the cake, the jobless person would not only retain unemployment benefits, but the maximum Pell grant would be increased in July by $500 to $5,350.
The government has a new Web site with information on the plan: http://opportunity.gov/
You probably realize this sounds good on the surface. Anyone with a heart desires to see a less fortunate people improve his life and that of his family. However, you may be asking yourself this question: “Where is government getting the money to fund this plan?
Now let’s be modest and assume that the plan helps 10 million people receive subsidized education and training. Certainly, President Obama has high aspirations. Now ask this question once again: “Where is government getting the money to fund this plan?” Obviously, it isn’t using accumulated savings. Gee, in your wildest dreams, can you imagine government saving money instead of running deficits? The truth is government has no wealth of its own. So, where does it find the money to fund any project?
Governmental Methods of Raising Capital
Governments have basically only three methods to acquire the capital needed to create any program.
- They raise it through taxation.
- They create money out of thin air.
- They sell bonds on the open market.
It should be evident that the government method of raising capital siphons it from the marketplace. If it raises capital through taxation, inflation or selling bonds it diminishes the citizens’ ability to consume goods and services—and decreases their ability to save money. You’re intelligent enough to know that economic improvement is possible only through more savings and investment per capital—the only method of job and wealth creation.
I’m sure President Obama has good intentions. However you already know that “The road to hell is paved with good intentions.” The truth of the matter is that his education program will eliminate more jobs than it creates. As with all government programs the desired ends won’t be achieved. Don’t you think our hearts should go out to all those unfortunate people whose jobs are eliminated with every new government program?
I think that calling their new website http://opportunity.gov/ an oxymoron. Perhaps we should rename it www.opportunityeliminated.gov.
Robert A. Meyer
http://libertarianway.com/