Big Corporations Benefiting from Spike in Food Stamp Rolls

Wednesday, October 3rd, 2012 and is filed under Blog, Economy, Immigration

Share with your friends

The function of government in the perverted worldview of liberals can be summed up like this: create poverty by destroying the private sector through excessive taxation, regulation, litigation, and other market distortions; entrench inveterate dependency for those who have been harmed by those policies; use the market distortions to benefit their corporate cronies.

Nothing embodies that meme more than the following story reported by Washington Free Beacon:

The Government Accountability Institute issued a September 2012 report in which they uncover that “only three corporations have cornered the market for providing SNAP services [food stamps] to the needy and destitute.”

According to the executive summary, the report demonstrates:

Three companies – J.P. Morgan EFS, Affiliated Computer Services, and eFunds –provide EBT services for 49 states and 3 US territories.

Since 2004, 18 of 24 states who contract with J.P. Morgan to provide welfare benefits have contracted to pay $560,492,596.02. New York alone has a seven-year contract worth $126,394,917.

Projected average food stamp spending post-recession will be 175 percent greater than prerecession average spending, from $28 billion to $77 billion.

Meanwhile, as the Weekly Standard reports, not only have the Food Stamp rolls spiked dramatically, the number of non-citizens receiving Food Stamps has doubled since Obama took office.

This is yet another example of how inane our immigration system is when it intersects with our broken welfare state.