Nearly Half of Americans Receive Government Funding


Thursday January 19th, 2012   •   Posted by David Theroux at 10:59pm PDT   •   10 Comments

In an article in the Wall Street Journal, Sara Murray reports that “Nearly Half of U.S Lives in Household Receiving Government Benefits.”

The pool of Americans relying on government benefits rose to record highs last year as an increasing share of families tapped aid in a weak economy.

Some 48.6% of the population lived in a household receiving some type of government benefit in the second quarter of 2010, up a notch from 48.5% in the first quarter, according to Census data.

Expanding government programs combined with the worst downturn since the Great Depression have led to an explosion in the share of Americans relying on outside help. To combat prolonged economic weakness, Congress extended unemployment benefits to a record 99 weeks (up from the normal 26-weeks offered in most states). The food stamp program was tweaked so it was more generous. Americans flocked to Social Security disability, a last bastion of support for some of the long-term unemployed. . . .

That number is up from 32.8% a year ago (when a total of 46.8% of the population lived in a home receiving benefits). The biggest increases came from an uptick in those turning to food stamps and Medicaid.

Nearly 15% of Americans lived in a household receiving food stamps in mid-2010; Almost 26% had access to Medicaid.

Only a small share of the population accessed cash welfare benefits as the 1990s overhaul made it more onerous in many cases to receive and maintain those payments. Some 1.9% of the population lived in a household that received welfare in the second quarter of 2010.

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10 Responses to “Nearly Half of Americans Receive Government Funding”

  1. Jackie Anderson says:

    Why don’t you all put the real truth out there for once!! 3/4 of these people getting this money and benefits is the illegals and quite frankly I am sick and tired of it. I raised my 3 children by myself and worked 2 full times to do it. I didn’t get any welfare benefits for my kids but I have helped pay for all these illegals to come into our country and steal all of our funds that should go to the American people and they just keep having more kids so they can get more, more, more!! And so the Democrats can get their votes well enough is enough!! This all needs to stop and send these people back where they belong!! AMEN!!

  2. Jackie, The best estimates are that about 11.2 million illegal immigrants reside in the U.S., but nearly half of all Americans receive some form of government welfare or other financial funding. In other words, the percentage of immigrants to the total U.S. population makes them trivial compared with the number of American citizens. In addition, immigrants did not create the U.S. welfare state; Americans did, and the problems associated with the welfare state, including its massive abuse and fraud, will only end to the extent that a critical mass of American citizens stand up and call for its reduction and even end.

  3. Libertarian Jerry says:

    Today, in America, the constituency of non-producers (who are a majority of the voting population) constantly support politicians and policies that promote the redistribution of wealth. The day is quickly approaching when the Government (on all levels) can no longer tax or borrow the funds needed to run the system as it is now comprised. And, of course, any kind of massive money printing will quickly lead to monetary inflation or possibly hyper-inflation. When the above events occur, there is only 2 things that the power elite can do. The 1st is to drastically reduce and or dismantle the welfare/warfare state in America thus forcing people to be self reliant and self sufficient. This action will reduce the power of the Political Class but that is the price that must be paid for the restoration of the American Society. Or they can turn America into a police state with the American Constitution either suspended or substituted for. Unfortunately, most Americans have given up their Liberty and self responsibility for the security of a Serf. So, I’m afraid to say that the 2nd option will probably occur.

  4. renogirl says:

    Wait, if only 12% of us live below poverty, then how can half be receiving government assistance? Sorry, the numbers just don’t add up. Further, Social Security benefits are not government assistance. People work their entire lives and pay into that system, as do they for unemployment insurance benefits. This is skewed to say the least, but HEY if it means you can perpetuate more division in the country, by all means, do it.

  5. Libertarian Jerry says:

    renogirl....Social Security,Medicare,Medicaid,unemployment benefits,food stamps,disability etc. are all welfare benefit programs. Social Security is legally a tax. The money comes in the money goes out. So are most other Federal Programs. If you include all the government pensions and pension benefits in the mix you would find that a majority of the population is putting in a nickle and taking out a dollar. This is unsustainable. Its not a matter of “skewing” its a matter of bankruptcy. America is bankrupt. Its not a question of dividing the country,but of facing economic facts to change things now and correct the situation before America is destroyed economically.

  6. Henry Bowman says:

    “The best estimates are that about 11.2 million illegal immigrants reside in the U.S., but nearly half of all Americans receive some form of government welfare or other financial funding. In other words, the percentage of immigrants to the total U.S. population makes them trivial compared with the number of American citizens.”

    A common statistical ploy.

    If there are 200 gnomes in town and 190 are living off the public spigot; and there are 2,000 dwarves in town and 1,000 are living off the public spigot; which group has the dependency problem? Now, if your town is growing by 200 gnomes and 100 dwarves each year, what is your biggest threat to economic sustainability?

    Arguing that the only proper solution is to dismantle the welfare state first is like arguing that the only proper solution to theft is never to own anything valuable.

  7. James Bishop says:

    For anyone to say that SS and Medicare is welfare is stupid and don’t know the first thing about how it started. People like myself who have paid into that scam for over 50 years, have done so with the belief that it was a savings plan for retirement. If you are so stupid as to call SS welfare, then so is every 401-k and every other savings plan that anyone has. The difference is, the politicians can’t get their hands on your savings, yet! [However, Obama is planning on changing that, because he fully intends to confiscate that money, it's part of his redistribution plan. You that voted for him just think your safe, but your not.] Oh and by the way, SS was never a tax, politicians that say it was are telling a lie, they have done these things behind the Americans back and should be tried and hung for it! They have passed laws to change its original meanings. In the beginning, SS was implemented for the purpose of having a retirement plan for those that payed into it! If you didn’t pay into it, you didn’t deserve any benefits from it! However, we all would have been better off to have put our money into a private bank rather than trust politicians with it. The problem that has been realized is that our so called “leaders” were all lying to the American people. Why? Because there was there was no lock on the savings in the piggy bank. Every stinking crook, sleaze-ball, low-life scum bag of a politician in Washington DC started stealing that money for their own “special projects” and putting worthless IOU’s back in its place, knowing the money would never be put back in! That money was intended for those who payed into the savings, not for leaches who never payed a dime into it! And certainly not for illegal’s who come into our country and get our retirement funds. For one, those politicians that made this possible should be dragged into the streets and beaten, they are thieves and liars, they have trampled upon the public trust that was intrusted to them. They have caused hardships by the thousands and should be held accountable for these crimes against the American people, they should be thrown into prison and left there to rot! Those who have never paid into the system don’t deserve it and should not be getting it. There are other ways to take care of “our” { not everyone that comes into America illegally } poor and needy, but not by stealing from those who have paid into the SS system for years for their own retirement. And any of you liberals that think it’s okay to steal my SS money, and to give free medical away to those who never paid into it, give it to those who don’t deserve it! Start with your own money! You need to turn all of you 401-K’s and all of your private savings over to Obama and let his idiots redistribute your money to these dead beats who are sucking our country dry! Sell you house, give your pay check and see hoe long you can survive!

  8. James, You are indeed correct that everyone would be better off with private retirement and health accounts and that the American people have been lied to by politicians for decades. However, neither Social Security nor Medicare are voluntary nor are they insurance systems. They are funded by taxes applied to earnings and are treated the same as all employment taxes. In addition, both are forms of socialism in which there is no private equity–in other words, you have no title and there is no contract to the funding you have paid in for years. Moreover, they are both Ponzi schemes dependent on taxing current and future generations to cover current outlays, and the reason politicians favor such schemes is that it makes the public dependent on them for re-election as well as on the vast government bureaucracies that take 40%+ of the funding along the way. Social Security and Medicare are two of the largest and most unsustainable components of the U.S. welfare state. Please see the following:

    “The Anatomy of Social Security and Medicare,” by Edgar K. Browning (The Independent Review)

  9. Libertarian Jerry says:

    James,its very rude to call people names. With that said I think any one who studies the history of Social Security will find that it was only declared Constitutional in the Helvering vs. Davis case 301 U.S.C. 619 in which the courts declared that Social Security was an Income Tax paid by the employee and an Excise Tax paid by the Employer making Social Security a Tax. And the money that was distributed to be distributed as welfare benefits. A Benefit is something that can be taken away at any time for any reason by Congress. The fact is that you didn’t legally pay into any “system” but simply paid an additional Income Tax that could be spent any way the Congress wanted to, which they did. The money is all spent. There is nothing left but worthless government bonds and worthless political promises.

  10. Henry Bowman says:

    “In the beginning, SS was implemented for the purpose of having a retirement plan for those that payed into it!”

    I don’t see how anyone could possibly claim ignorance that this was obviously untrue from the very start.

    In 1940, Ida Mae Fuller received the very first check under Social Security. She had paid into the system for a mere three years, to a total of $24.75. Her very first check was $22.54, which very nearly represented everything she had ever paid. She continued drawing benefits for 35 more years, extracting almost $23,000 from the system.

    A fifth-grader could correctly deduce that these results much more resemble a lottery win than a retirement investment account.

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