The debate is simply our age old socialist vs. capitalist. The socialist will say that technology/society has changed to the point where extra safety nets are attainable and will tend to ignore/downplay incentives. Conversely the capitalist will ignore (potentially avoidable) human suffering and focus purely on perfecting incentives.
I tend to align with the capitalist worldview. In a democracy where 'majority' rules, politicians can end up in a precarious situation where welfare blocks feeling marginalized can create an insurmountable opportunity cost perpetuating welfare policies. This could certainly destroy an economy if pushed too far. Strangely, either if non-working individuals couldn't vote or if the government system wasn't majority rule perhaps this trend wouldn't hold true.
All of that being said, we can't turn our backs on all safety nets as responsible policy makers. As for where the line should be drawn? Who knows. Just be wary of giving politicians the authority to decrease voter elasticity (the cost an individual incurs when they vote away a political party).
We've seen that the economy can take a ~30% shock to the headline figures - I'd guess that we would have formerly agreed that was to be considered "destroyed"... and in truth people haven't risked going hungry (any more than they were at risk before).
Political welfare decisions are protecting people (or not) more than capitalist incentives are.
I tend to align with the capitalist worldview. In a democracy where 'majority' rules, politicians can end up in a precarious situation where welfare blocks feeling marginalized can create an insurmountable opportunity cost perpetuating welfare policies. This could certainly destroy an economy if pushed too far. Strangely, either if non-working individuals couldn't vote or if the government system wasn't majority rule perhaps this trend wouldn't hold true.
All of that being said, we can't turn our backs on all safety nets as responsible policy makers. As for where the line should be drawn? Who knows. Just be wary of giving politicians the authority to decrease voter elasticity (the cost an individual incurs when they vote away a political party).