The fact is 12 years of education is no longer enough to compete in the 21st Century.
That’s why my Build Back Better Agenda will guarantee four additional years of public education for every person in America – two years of pre-school and two years of free community college.
— President Biden (@POTUS) July 7, 2021
Free? Really?
Dear Mr. President, who pays for “Free College” and “Free Preschool”?
If someone is paying by force of taxes then it isn’t free. Only if “free preschool” comes from volunteers and charitable donations with no external costs is it truly free.
First-Time Homebuyer Act
Let’s also discuss Biden’s proposed “First Time Down Payments” for buying a home.
“The Downpayment Toward Equity Act of 2021,” would create a grant program allowing states to provide first-timers with cash for down payments, closing costs or fees that result in lower mortgage rates.
The second bill, introduced in late April and dubbed the “First-Time Homebuyer Act,” would provide a tax credit of up to 10% of a home’s purchase price — or as much as $15,000 — to first-timers.
To access the tax credit, you won’t necessarily need to be a “first-time” buyer. You’ll be eligible if you haven’t owned or bought a home in the past three years.
It seems Biden and the Democrats have a peculiar definition of “First-Time”.
Why Things are Unaffordable
A key reason many things are not affordable in government actions. “Free” down payments artificially boost demand.
We have had countless “affordable home” programs all of which failed for the same reason, free government programs inevitably have a huge cost.
On top of affordable home programs, tariffs raise costs on steel, lumber, and concrete. The lumber tariffs on Canadian lumber which Biden just increased are beyond insane.
The cost of private medical insurance is crazy high as are costs anywhere where government interferes.
George W. Bush signed the “Bankruptcy Reform Act of 2005” making student debt uncancellable in bankruptcy. Guess what happend?
Biden’s solution of course is a “free” money student debt forgiveness program.
Free Stimulus
We have had three rounds of “free” stimulus to such an extent that it “pays” more for many millions of people to collect unemployment rather than work.
That in turn drives up prices at restaurants and other places that have a hard time competing with “free”.
Tired of Paying for Free Stuff
https://twitter.com/AndySwan/status/1413344132131696641
Dear Mr. President many of us are tired of footing the bill for government-sponsored “free” stuff.
To that end, I graciously volunteer my time for free (no cost to anyone else) to teach you the true meaning of “free” and “first-time” as well.
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Mish
I’m a bit uncertain why the proposed “new” home buying and college benefits are receiving so much criticism, yet few complaints about other government subsidies reaped by nearly everyone in America. Tax credits and deductions for homeowners, investors, corporations, both large & small. Depreciation, depletion, interest, capital gains, wealthy estates, the list is nearly endless. Clearly the game is heavily tilted toward certain activities i.e. specific industries, degree of wealth, income levels and source of income. Looks like government is tilting the playing field just slightly in the other direction.
The sellers end up buying maybe a smaller house in a less desirable area, and keep a few bucks. It is the middlemen that rake it in. And not all buyers will lose. If it is a private equity firm like Blackrock, they are always protected no matter what.
But of course, we are the richest country in the world so we can’t afford it.
And oooooh, 50% taxes! Scary, ja! The average family pays about $18000 in health care premiums annually. That’s about a 30% cut right there.