The welfare state is booming, especially in the sanctuary states. In three states, Government jobs plus Social Assistance/Health Care is over 100% of year-over-year job creation.
What’s driving American job growth? In progressive states, it’s government, social assistance and healthcare.
The Wall Street Journal reports The Welfare-Industrial Complex Is Booming
The tens of thousands of migrants pouring into big cities need to be tended to. So do the hundreds of thousands of drug-addled and mentally ill homeless living on the streets. Progressive government doesn’t do anything on the cheap. America’s welfare state has thus become a proverbial Big Dig, and it keeps getting bigger.
New York City is spending $394 a day—or $143,810 a year—to house and feed each migrant, many in formerly posh hotels. Mayor Eric Adams grouses about the flood of migrants, but what does he expect when the city makes itself a welfare magnet?
Meantime, the homeless population continues to swell, even as government shovels more money into housing subsidies—nearly $43 billion in the Democrats’ March 2021 Covid bill alone. The number of homeless shot up 85,389 between 2019 and 2023, with California and New York combined accounting for about half the increase, according to a recent federal government report.
A 2017 report from Orange County United Way, a nonprofit in Irvine, Calif., estimated that each chronically homeless person living on the streets and in emergency shelters costs the public $85,631 a year, largely owing to high healthcare expenses from repeat trips to the emergency room. The $837,000 Los Angeles is spending to build a single housing unit for the homeless almost appears frugal by comparison.
Aside from two years of runaway inflation, one way to explain Americans’ malaise is that they sense most new jobs aren’t making them or most people they know better off. The main beneficiaries are workers in the welfare-industrial complex.
Check out Medicaid in California
The California Health Care Foundation explains Medi-Cal Financing and Spending
In fiscal year (FY) 2021–22, California’s Medicaid program, Medi-Cal, spent $121.9 billion to provide a wide range of core health benefits to nearly 15 million Californians with low incomes.
Free Heath Care to Illegal Immigrants
News Medical reports States expand health coverage for immigrants as GOP hits Biden over border crossings
Eleven states and Washington, D.C., together provide full health insurance coverage to more than 1 million low-income immigrants regardless of their legal status, according to state data compiled by KFF Health News. Most aren’t authorized to live in the U.S., state officials say.
Enrollment in these programs could nearly double by 2025 as at least seven states initiate or expand coverage. In January, Republican-controlled Utah will start covering children regardless of immigration status, while New York and California will widen eligibility to cover more adults.
There are more than 10 million people living in the U.S. without authorization, according to estimates by the Pew Research Center. Immigrant advocates and academic experts point to two factors behind state leaders’ rising interest in providing health care to this population.
States have also expanded coverage in response to pleas from hospitals, lawmakers say, to reduce the financial burden of treating uninsured patients.
California was the first state to begin covering immigrants regardless of their legal status, starting with children in 2016.
Health Care Benefits to Illegal Immigrants
Your health cares costs are increasing to cover illegal immigrants. And it will only accelerate from here. Offering free health care for kids will soon expand to adults.
The alternative is emergency room care which is more expensive.
Money, Money, Money
Let me ask again, Sanctuary Cities Seek More Money for Migrants, But is Money the Problem?
Add free housing and free health care for illegal immigrants to the list of major forces increasing inflation.
And these numbers are sure to be a major election issue, perhaps the deciding issue. For discussion of how the Senate is shaping up, please see Good News, Republicans Have a Great Chance to Take the Senate in 2024
We must do something more.
Everyone has a basic right to be happy all the time.
You didn’t have to publish the chart for us to know the top three, but I was surprised at #6 for Cali. The money keeps circulating but somewhere, some of it becomes unproductive. I wonder how that happens.
Any else notice that the number of people living illegally in the US had been estimated at 10,000,000 ever year since the 90’s? It magically remains constant despite a flood of new illegal immigrants growing larger each year.
in 2020 the est of illegals was 32million
Operator error.
So which are these 3 states. Why not actually list them…. If these jobs pay well and those employed put their money back into the economy What is wrong with that?
Maybe you didn’t see the graphic??? It’s New York, Illinois, and Michigan.
I would guess that a lot depends upon which country has the economy that the money is sent to.
I’ve no idea how the American system works, but you’d like to think the states had more fiscal and and budgeting responsibility than the fe(de)ral government. The Helvetian Confederation, with it’s cantons and a weak Confederal government seems a better model.
And not just for healthcare.
We have a crazy immigration system because the MAGA knuckleheads and the Progressive saints are colluding to keep the crazy immigration system in place,
quoted from #1 knucklehead = albert
I’ve been in Arizona just 60 miles from border for past 35 years
My wife is hispanic and came here in ’78 legally and is now US citizen
no one has stopped illegals in past 50 years
now with open borders we get worst of worst
plus lots of drugs, sleeper terrorists/gangs/etc.
and btw
NOT $1 from our FEDERAL GOVT to help pay for their illegals
it’s fun to watch NYC, CHICAGO, DENVER,etc. begging for fed $$
they won’t get any – otherwise feds would have to pay Arizona the $50,000,000,000 it owes illegals – education, healthcare, incarceration, insurance due to damage they cause and never pay for and on and on
Check the immigration laws and statistics. Most illegals come in first legally asking for asylum based on laws that were designed to accommodate Cold War refugees. Now we live in world with very different push and pull immigration factors. MAGA and the Progressives are blocking sensible immigration reforms.
“no one has stopped illegals in past 50 years” // I’m a 4th generation Texan. “Illegals” in Texas have been here since its Independence from Mexico 21Apr1836. It’s a very complicated topic. However, it’s root is in dirt cheap labor: farm and ranch hands and domestic household, little different than Black slaves. Wish I had more time and space to elaborate, but today’s Texas Blacks and Browns voter ‘status’ is directly related to past physical threats, dead voters (LBJ), elections rigging, literal vote$ buying, and ever-increasing welfare in whatever form. The US is holding aces and eights. It was nice knowing her. 🔦✝️
But we are told that the migrants pay for themselves and will save our economy and social security.
If these migrants are such an economic benefit, why isn’t any state government offering explicit financial incentives to attract them like they do to for corporations?
“The Welfare-Industrial Complex is Booming”
Every boom ends in a bust.
“Boom” sounds like an explosion – with lots of debris and wreckage left behind.
Surely “boom” is just a cryptonym for “bubble”? Remember the “dot com boom”? It was a bubble… a “boom” should mean that there’s something real and tangible driving some rapid growth, but the characteristics of all bubbles is that they are claimed to be booms, so you can only tell the difference by understanding more than the boomsh!tters, and wading through and filtering out all the boomsh!t.
No bust until they can no longer borrow more money.
History teaches us that “diversity is our demise.” Yugoslavia and Czechoslovakia are just two recent examples. Yet are brilliant leaders seeking to quell racial tension by inventing a slogan “diversity is our strength”, have confused themselves and actually started to believe their own BS. Thus we have riots I Germany and France, mass rapes in Sweden and general chaos in London. And every major city in the US is unsafe. Way to go libtards!
link to zerohedge.com
Harvard sociologist Robert Putnam believed in the “Diversity is our greatest strength” narrative but his research showed otherwise, which caused him to refrain from publishing it. He finally came up with an argument to “spin” his findings into supporting diversity. You see, the US military is an example of an institution that successfully embraced diversity and turned it into a strength.
I guess he has a point if you want to organize your society along militaristic lines. Though you still have to somehow argue that the US military is a “successful” organization.
The military can be successful at increasing the birth rate:
“USS Acadia (AD-42) was a Yellowstone-classdestroyer tender in the service of the United States Navy, named after Acadia National Park. She was inactive and in reserve after her 1994 decommissioning at Naval Inactive Ship Maintenance Facility (NISMF), Pearl Harbor, Hawaii, under maintenance category B, until sunk off Guam during a live-fire training exercise (Valiant Shield) on 20 September 2010. She was the first ship to house a wartime mixed-sex crew and was unofficially nicknamed “The Love Boat” in the 1991 Persian Gulf War after 36 women (10% of women in the crew) became pregnant during deployment.”
Wow, bet that kept morale high!!
Diversity is not a strength in the military. That is nonsense, talk to an officer or nco.
War is peace, freedom is slavery, diversity is unity.
Seize the assets of those funding these NGO’s. Seize all their money, houses, cars, yachts. Everything. Use it to fund rounding up all the illegals and send them back home.
The smart thing to do would be to place annual/quarterly/monthly reporting/auditing obligations on NGOs to maintain their tax-free status, and just tax them into oblivion… as leftists, they are unlikely to be able refuse increased government intervention and policing of their activities. CEOs of NGOs probably should be under far greater public scrutiny, more than corporate CEOs, and be compelled by threat of prison to maintain financial reporting standards, to get an annual renewal of their contract.
This is what happens when you ship your manufacturing base overseas. You can only have so many hairdressers and nail places. One must resort to government make work programs. Tarrifs are the solution to this with a reduction in corporate taxes a common sense relaxing of environmental laws ( especially the CO2 hoax). This will bring jobs back. Of course, they never should have been sent overseas to begin with.
Nope… manufacturing moves to where it’s cheapest… as developed economies develop, education levels rise, and people expect and demand and compete for the higher quality higher skilled jobs that arise, that’s part of the deal… just like increased health and longevity is, and reduced numbers of children are, as they become more expensive to raise and educate… you can’t have your cake and eat it. This is well known and proven by decades of statistics and credible data.
The idea that you replace increased state-created employment with more state-created employment (i.e.: “make work schemes”) is laughable. The state doesn’t create money, it spends and redistributes it inefficiently. The correct solution is to reduce the size and budget of the state and what it can do. Similarly tariffs don’t work either, protecting low quality jobs that can be done cheaper elsewhere is not only inefficient and expensive for consumers, it slows growth and is an anathema to the idea of America. Jobs are not “sent overseas”, they are simply outcompeted for on price by less developed countries who in turn form trading relationships and become economic and political allies, and consumers of your culture. This makes for a safer more prosperous world, with nice cheap sunny places for you to go on holiday to or retire in with a sexy young wife. Stop looking backwards to old jobs, and look forward positively to new jobs and job types being created, that’s part of development. We don’t cling onto the steam powered and candle-lit world by rejecting that new-fangled electricity and oil & gas. Reducing corporate taxes is part of reducing the size of the state, which is obviously a good thing, as the state does not create wealth and just suffocates and cannibalises the nation it administers.
Pretty much agree with “almost” everything you just said. (After all, 100% agreement is a rare thing.) And you stated it clearly and succinctly.
I see that you just don’t understand the strategy of pulling yourself up by your own bootstraps. No loss. It can never work.
California to Give Illegals Taxpayer-Funded Healthcare
Catherine Salgado | 10:33 PM on December 30, 2023
The People’s Republic of California will soon be offering lawless illegal aliens healthcare, courtesy of the state’s taxpayers.
California Gov. Gavin Newsom loves nothing more than tyrannizing American citizens and rewarding criminals — naturally, since he’s a Democrat. The latest news from the land of fruits and nuts is that illegal aliens there will, as of Jan. 1, 2024, have access to “free” healthcare. In other words, citizens will be forced to pay for non-citizens to receive healthcare in a country where they shouldn’t be in the first place.
Advertisement
Western Journal reported on Dec. 30:
– In 2015, the state legislature allowed for children to be entered into Medi-Cal. Then in 2019, Democrat Gov. Gavin Newsom signed a bill into law allowing illegals up to ages 25 to gain access to Medi-Cal. On the heels of that expansion, Medi-Cal was then opened up to illegals aged 50 and up.
– According to California Democrat State Sen. María Elena Durazo, the expansion set to go into effect on Monday will allow the remainder of the illegal alien population, an additional 700,000 illegals, to enter Medi-Cal.
Mind you, California doesn’t even have the money to pay for its current programs, let alone 700,000 more illegal aliens’ healthcare. Earlier in December, it was reported that the state of California faces a $68 billion deficit. How on earth is Democrat government spending sustainable?
…
link to pjmedia.com
“Earlier in December, it was reported that the state of California faces a $68 billion deficit. How on earth is Democrat government spending sustainable?”
I hear that there are tax increase measures coming on the California ballot. The state government is also apparently trying to get a ballot measure to restore a measure which increased the legislative vote percentage necessary to pass tax measures, declared illegal. Democrats hate democracy.
Sorry Jojo, you entirely miss a simple fact – Californians voted for Newsom despite the many naysayers here. These people don’t come to power on the simple truth of no free ride – prosperity brings the belief that the money tree is always fruitful, no fertilizer required.
CA and NY state GDP are fake.
Happy new year.
Happy New Year. Preventative Healthcare is cheaper than the ER. The US needs an AMT on businesses. Say 5%. This would would close the budget deficit quickly. Even a flat corporate tax with no loopholes would work better than what we have now. Thr Singaporean model does work.
The Singapore model succeeds because those people make better personal choices in their lifestyle to avoid using the heath care system in the first place. Secondly, they have a strong work ethic with morals to pay their way through life instead of being parasites.
A tax on business is a tax on the customer; businesses don’t pay taxes. Where on earth do you think profits come from? Back to school for you.
The 2024 election won’t change a thing. The Uniparty remains unchallenged and Trump will be stopped.
Don’t kid yourself….Trump is part of the uniparty.
You’re part of the uniparty.
With all the S**t going on in the world I can’t believe so many people are bringing more children in the world. What kind of life do you think your children will have? I love kids but I decided over 40 years ago to not bring a child into this world.
Smart. In today’s America you would be stuck with an unwanted pregnancy unless you were sterilized or not sexually active.
I was smart and got sterlized early.
Sorry Laura but you were fooled by state propaganda. Kids are one of the greatest joys in life. Being a responsible parent and raising them right is one of the most sacred duties. If The Western countries would protect their borders, their populations would be stable or decreasing and life would be good. Instead they open the boarders and subsidize the lowest quality people to have kids. The result is a dysgenic, unruly society. Not sure why the idiots in charge seek this. But it’s clearly by design. Perhaps a Morlock, overlord societal model.
Are you sure you decided, or did men decide for you?
I decided. I wouldn’t date men who wanted children.
Hey Mish since you work so hard all the time I’m pretty sure you never have time to watch Sunday night football tonight, the favorite team of all the gay guys, the Green Bay Peckers. I really have never understood the love of peckers all over the place these days though I certainly like guy guys for the most part interesting, creative and all that bullshit.
Come on. We know you love peckers more than anything.
Immigration is the only reason we have a growing population.
This puts upward pressure on housing values, downward pressure on low skill labor service costs, and can help pay your social security.
Immigration has consequences. No immigration has bigger consequences.
And the real reason we have open borders isn’t really because of cheaper labor but because immigrants are counted for Congressional seats in the House and possibly for control in state legislatures.
CA is again losing people to other states, which caused us to lose a House seat last year (and therefore, some political power). But the inflow of immigrants, even undocumented ones, can help stem further losses, so don’t look for borders to be tightened anytime soon.
Another solution is to slaughter all the left-wing males, and then have more fillies requiring insemination by the remaining bulls. Send all the new calves to the corporate slaughterhouse to be converted into political hamburgers.
Eh hospitals cant turn you away even if you cant pay. So your gonna be paying for it one way or another.
Havent considered healthcare. I wonder how much our economy actually depends on immigration and drug enforcement.
Think how much those jobs support those boarder towns.
Wow… my reaction to this is link to youtu.be
Three states is a pretty small sample. How about all of them?
Total employment by govt is 16.3% of which 1.9% is federal, 3.3% is state, and 10.1% is local.
Relative to February 2020, total employment (private plus government) is up 4.7 million jobs (3.1 percent) as of November 2023: private employment is up 4.6 million jobs (3.6 percent), federal government employment is up 98,000 jobs (3.4 percent), state employment is up 17,000 jobs (0.3 percent) and local employment is down 19,000 jobs (0.1 percent).
So private employment is growing faster than public.
Hey Papa, is there a detailed breakdown of Government Employment? Like the portion of NGO’s that are tied to, rely on etc. and where specifically does the Postal Service, IRS, Teachers Unions, Diplomats, school etc. all fall under? Just curious if a very detailed list exist. Thanks!
I don’t know and I actually don’t care too much about the breakdowns. Some people love the micro, but I am more of a macro person.
Happy New Year!
I can see that being an energy guy. I was just trying to understand how the breakdown is done, and how or if everything is captured and correctly imo. I don’t see it, can’t find it, and was simply curious if one even exist.
Happy New Year!
I’ll bet you are.
Yes, but these statistics don’t capture the QUALITY of private jobs. These days, many are contract or gig work that don’t include benefits or pensions. Many are part-time and people are working two or three jobs.
From 30k feet the macro view of a slum might look pretty clean but when you get down close, not so much.
Then feel free to provide those statistics. Because all you are offering up is personal opinion.
Happy New Year!
Actually, it’s a bit more than that, it stands to reason that if you look at a forest from orbit, it looks like patches of shades of green, but you can’t ever hope to know what’s happening on the forest floor without being there under the canopy.
Don’t forget these additional federal gov workers:
“3.7 million contract employees, 1.6 million grant employees, 1.3 million active-duty military personnel, and 492,000 postal service employees”
link to volckeralliance.org
True. Hard to know where to draw the line. In addition, how many private sector workers depend on some level of government spending for their jobs. Programs like the IRA end up supporting a lot of private sector workers. Though I don’t have overall stats on this, I have read many articles that say Red states are pulling in the majority of IRA funds. Maybe someone else can post those stats.
Spending by the federal government is 20% of GDP with 1.9% of workers.
Spending by state and local government is 17% of GDP with 13.4% of workers.
Happy New Year!
Yes, there are a lot of quasi-private sector jobs, especially in the military and NGO industries.
Yep. Trying to distinguish what is government and what is private sector is difficult at best and impossible at the worst. The deeper you dig, the more complex it gets as they are inextricably intertwined. Which is why I don’t bother digging too much. I leave that to Mish and others who are willing to put in the effort.
It’s also why I don’t buy into the idea of “government bad”, “private sector good”. Partly because it isn’t that simple, and partly because I have no say in it.
My concern is in how to take advantage of whatever exists; rather than attempting to change what exists.
Happy New Year!
In the MMT world and among.communists, this is all great news. Keep the ponzi going…..
In reality, THIS IS UNSUSTAINABLE and a massive crash depression is inevitable….. no wonder the oligarchs are spending millions on underground bunkers and bug out locations
JB Pritzker and Chris Christy should spearhead a bipartisan blue-ribbon panel on the nation’s health.
Wow…even conservative Texas (34%) and Florida (41%) made the list. Yikes….
A couple of years ago, I would occasionally hear, The Government is hiring and they pay pretty well, now days.
A year ago it started to become, only the Government is hiring.
Now, it has literally become, The Government Is The Economy. The jobs are all within the Government, an arm of the Government, related to the Government, or are dependent on the Government.
What happens when the recession becomes real, and jobs start disappearing? Taxpayers and Companies taxes start massively declining? Where is the money going to come from? People here now, that weren’t, will demand Shelter, Food, Safety, Medical needs, Educational needs, money etc. What happens if riots start breaking out, bank runs, huge home and auto repossessions?
Things could get ugly rather quickly…
The just keep finding ways to borrow more and push off the need to pay current debts. This is what CA is doing now.
Last year we had a $30 billion deficit. Everyone was upset that “essential” programs were going to have to be cut. But they pushed payments into the future, borrowed from other programs and managed not to have to cut much of anything.
This year, we have a $60 billion deficit. Everyone is doubly upset now because it is going to be even more difficult o move the cards around as they try to avoid cuts that will cause political unhappiness.
Given we have a super majority Democratic legislature and a Democratic governor with his political sights set on a future presidential run, there isn’t anything anyone seems able to do to put a stop to trying to avoid the need to actually cut programs.
If you want to see an economy that really is dominated by the government, try France. Scotland, Northern Ireland, Wales, aren’t far behind. Still a ways to go to get to China, Cuba, and North Korea, but heading that way.
Huntsville is America’s best city, life is good.
link to whnt.com
Meanwhile, the government’s drowning in debt from 43 years of “job creating” tax cuts.
I wonder if some of this increase can be attributed to private sector jobs leaving the state. It seems the growth in government jobs are in stats with big migration.