Kill the poor? Elizabeth Warren observes:
When I talk with families about politics, I often hear a variation on this theme: “Democrats care most about the poor. They tell me I’m better off than the poor, and that I should give up more of my money to help the poor. Well, I’m stretched to the breaking point, and I just can’t do it any more.” Whenever a Democrat stands up and says, “I’ll help every child go to college,” then cuts off benefits at $20,000 a year, the message just burns deeper.
Now, no doubt Warren does hear this from people. Nevertheless, it’s worth mentioning that it’s not actually true. Which Democrat, for example, has proposed a college assistance program with a $20,000 / year family income cut-off? Indeed, as part of the innovation agenda, the House Democrats formally committed themselves to “Make college tuition tax-deductible for students studying math, science, technology, and engineering.” This, it’s worth noting, will do exactly nothing to help poor families. Their kids, for one thing, are very unlikely to go to college, thanks to inequities in the secondary school system and various other challenges. What’s more, if you make less than $20 grand a year and have kids, your income tax burden is going to be extremely low. A standard middle class family will send their kids off to state school and making tuition tax deductible will save them a couple hundred bucks a year.
A rich family, by contrast, is going to send their kids to an expensive private college where tuition will run almost $40,000 a year. And since the family is in a high tax bracket, the deduction will be worth thousands of dollars.
Now, politics is all about perception, and so it’s very possible that the Democrats are perceived as favoring narrowly targeted programs that only help the poor. Insofar as that’s true, it’s a noteworthy fact about the country. But the perception is wrong and that’s worth pointing out.
