logoalt Hacker News

roughlyyesterday at 7:22 PM2 repliesview on HN

Next time someone asks how we're going to pay for, eg, free school lunches, keep this site in mind.


Replies

BJones12yesterday at 7:30 PM

Given 50 million schoolkids in the US and a cost per meal per child of $4, the current number represents 10 meals. At 1 meal a day that would be 2 school weeks, at 2 meals a day that would be 1 school week.

show 6 replies
marginalia_nuyesterday at 8:09 PM

The question is fundamentally poorly formed, and as a consequence, so is the rebuttal. A state can pay for anything, since it doesn't have to be in a budget surplus.

Household budget analogies emerge any time someone wants to limit spending, or criticize spending, but one of the biggest points of Wealth of Nations (which is the foundation for modern macroeconomics) is that the budget of a state is fundamentally different to that of a household.

If a household fails to maintain its budget, it's game over. People know this, which is why it's a punchy analogy. But it's also a bad analogy.

If a state fails to maintain its budget, it can either print more money or raise taxes. Neither is a great long term fiscal policy, but it's not the end of the world either, and budgetary deficit something most states utilize fairly regularly.

What's missing with the school lunches and present with the Iran War is political will. (I get that is what your point was all along.)

show 4 replies