Why Are Democrats Clinging to a Flawed Reagan-Era Tax Credit?
Tax credits became the preferred policy for redistributing wealth downward precisely
because they do so discreetly. Instead of justifying a welfare expenditure, lawmakers
got to boast about cutting taxes. Instead of a handout, the credits rewarded hard
work. Marshall Steinbaum explained, “The EITC was supposedly the perfect income-support
policy because it got the incentives right.”