#1031 Peter Lindert: How Government Social Spending Works

The Dissenter

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Dr. Peter Lindert is Distinguished Professor Emeritus in the Department of Economics at the University of California, Davis. Dr. Lindert studies the causes and effects of modern fiscal redistribution; and the history of inequality, political voice and economic growth. He is the author of several books, including Making Social Spending Work.

In this episode, we focus on Making Social Spending Work. We first ask what social spending is, and address the main arguments for and against government social spending. We talk about the conditions that allow for government social spending to take off, why Northwest Europe led the way, the importance of universal education, and a shift in spending toward the powerful and the elderly since 1910. We discuss the “free lunch puzzle”, the benefits of universal healthcare and welfare programs, social spending in developing countries, social spending in autocracies and democracies, and trends since 1980. We talk about the impact of immigration on the economy, and the pension system and the sustainability of social security. Finally, go through examples of wrong social spending, and the biggest threats to social programs until 2050.

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