The value of an investment is based on the return. If little is invested with little expectation of return, that is what will happen. But, if a larger investment is made with expectations of a larger return, it will be there. If the return isn’t, investments will be made elsewhere.
Right now we are investing little in unemployment and welfare. With that little investment we are asking little in return. Both are suppose to be used to get people through a difficult time. Perhaps the economy is in a downturn and companies understandably need to layoff some workers. It might be a family tragedy that means the primary wage earner is injured, unable to return to work or has died. Many more situations may exist that demands help from the community.
To those individuals and parties that are market driven, pro-business side of the equation, there is a belief that there should be no need for unemployment and welfare. They believe that individuals should save more of their income for economic downturns or they should continue to retrain for future jobs. The reasoning in the perfect world is sound.
On the other side of the equation, those that may focus entirely on the needs of workers and families, believe in something different. They believe the individual has little or no control over events and would help for as long as the economy takes to come back. If the individual truly had little control, evolution would not have been so kind to our species.
The answer in the Responsible Community is taking the benefits of both and addressing the downside of both.
That is for the next blog post.