Minnesota’s Fraud Problem Isn’t Immigrants

It’s the vast size of the welfare state that corrupts them

WSJ editorial, Excerpts:

"Cash payments. Minnesota offers a “working families” tax credit of up to $3,089 a year, which operates similar to the federal earned income tax credit (maximum of $8,046). Both credits phase out as incomes rise. Minnesotans can also claim a $1,750 refundable tax credit for each child, on top of the $2,200 federal credit. That’s $4,000 per kid.

Low-income Minnesotans can also qualify for a preloaded debit card to pay for incidental expenses. A single unemployed parent with two children can get $1,189 a month in additional cash payments. Minnesotans who work can get more cash, but the work incentive is undermined by the state’s other payments that phase out as paychecks grow."

"With so much money and so many programs, this vast system is an open vault for scammers—especially when politicians are loathe to police fraud because doing so might be called “racist” or “anti-poor.” But it’s also corrupting for beneficiaries who have an incentive to remain on the dole rather than build an independent life."