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Privatize the Welfare State

Source: By HOWARD HUSOCK, Wall Street Journal, March 9, 2006

No matter whose priorities prevail in this year's budget debate, it is a certainty that the federal government will continue to devote billions to activities known as "social services."

…… A case can be made, however, that a truly independent, philanthropically supported nonprofit sector can better sidestep the pitfalls that have plagued government. Such a sector would be likely to attract committed employees and volunteers. This was certainly the case pre-New Deal. More to the point, the willingness of Americans to answer a call to service continues to be strong, as reflected by the emergence of major new "brand name" nonprofits such as Teach for America, Prison Fellowship and Habitat for Humanity.

….. What's more, service organizations which rely on private donations -- whether from individuals or foundations -- might actually prove to be more accountable for their performance than their public or publicly funded counterparts …… In contrast, public employee unions, influential with legislatures, make it more difficult to discipline public social service agencies similarly.