Political Science

As of the present, corporate welfare is conidered as one of the most controversial and highly debated public policy. In the United States alone, this public policy has led to a broad discussion and received varying ideas in both the US Congress and Senate. In the dawn of the most recent global financial crisis, which have badly affected the Americas economic stability, the discussion over the current US corporate welfare became a major political and social issue. It can be said that the economic downturn is one of the main crisis that paved the way towards the formation of such public policy. Originally, corporate welfare is intended to provide government subsidies among the private companies to protect their business and save them from further financial problems, caused by a long period of unprofitability andor massive financial crisis.

In the United States, corporate welfare is deemed to be effective in such a way that it inspires a drowning business or industry through a government grant that could either be in the form of a tax break or a direct monetary subsidy, which the given companies could utilize in shouldering their operational expenses and in empowering their labor force. However, for the past several years, the enforcement of this public policy has received extensive criticism from many political personalities.

In 2002, Ron Paul, a Republican Congressman  from Texas, said that corporate welfare is unethical and it is nothing but an added financial burden for the governments available budget (Paul, 2002). Dan Morgan, Gilbert M. Gaul and Sarah Cohen, staff writers to the Washington Post, believe that corporate welfare in US is a waste of money by giving subsidy to people who do not even use the money for its original allocation. Since 2000, the US federal government has already spent 1.3 billion dollars worth of subsidy without even having an evident advantageous outcome (Morgan, Gaul  Cohen, 2006.

Lastly, if I will sit as the next US President, the first thing I would do in ammending the current corporate welfare is to make it more justifiable and economical. First, government subsidy should only be given to credible and legitimate beneficiaries in order to have a more positive and beneficial outcome. Second, monetary grant will only be given to the shrinking industries that possess a huge economical value. Third, financial assistance will be given with strict provisions and guidelines on how to spend the money to be able to ensure that it will be spent wisely and according to the way it should be.