Does Canada Have Middle Class Welfare?

I came across an interesting article on an Australian newspaper’s website. (How I got there is a bit of a convoluted story)

The article’s suggestion is that the middle class in Australia gets, in some cases, more “welfare” than the poor. You can read the details here. Efforts to remove some of the freebies have led to problems for the political parties trying to do so. The issue, of course, is that the middle class are more prone to push back and get involved in the political process.

Homeless woman with dogsThe article brought two thoughts to my mind.

1. Can society control its financial side? Allow the people to directly dictate financial policy and we will initially create policies that will lead towards our financial ruin. As humans, we want more than is feasible. We care not about the future. Whether we can learn to control our greedy “Me” philosophy in time is the question.

2. Does Canada have too much Middle Class Welfare? The article mentioned above claims that “Australian payouts were still the most tightly aimed of the nations that make up the Organisation for Economic Co-operation and Development”. In other words, Australia aims a greater % of its “welfare” to people in lower classes. If true, that means that Canada has more middle class welfare than Australia.

To me, middle class welfare is bad. We take some money (taxes) away from the middle class, and then to make them feel better and continue voting for us, we give some of it back. The problem is there is overhead (all the people hired to process the programs) so it is not a good return on our investment.

As always, please comment with your thoughts on the above matter.

Grandpa Richard