Clinton right on Baby Bonds

My friend (and fellow-Husker) Jason of SoDaPo criticizes Hillary Clinton for her baby bonds proposal. (Baby bonds grant newbornes $5,000 to be invested, that can be cashed out for either a first home or a college education.)

Baby bonds are a truly good idea. Home-ownership and college education generate positive externalities: they are not only good for the individuals who go down those roads, but also for the country as a whole. That is one reason that the government subsidizes both.

As someone who cares about the country but also is suspicious of big government, I’m OK with the first part (helping out home ownership and college education) but suspicious of the second (a large faceless bureaucracy making the big decisions on its timetable).

Thus, I support Hilldog’s great idea. Baby bonds are a first step in what President Bush calls an “ownership society,” where many social welfare initiatives and not hand-outs but rather capitalizations. Baby bonds connect every family in the country to the bond market in a meaningful sense. (Everyone already is through social security and medicare, but decades of misconception cloud that fact.) Finally, baby bonds amount to a delayed payment for procreation — a great idea in a world where growing our population is a prime concern.

Hillary Clinton: Huzzah!