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That would get sticky in practice, since everyone is a recipient of government "services", which conceptually are the same as payments. It's easier to just remove the conflict of interest by getting as many people off the dole as possible.
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Getting them off the dole is the problem as long as there is state interference in the economy. If there were a free market, including in labor, then nobody would be without a job, unless they chose that lifestyle. Of course, nobody should be forced to pay for someone else’s lifestyle, either.
Just a question, though. If the Eastern Europeans could do it, in reality, not just practice, why can’t we do it? There are countries in Eastern Europe that will not allow any NGOs to operate within their boundaries, at all. They seem not to have any problems, other than complaints from the NGOs and the NGO workers.
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How do you separate NGO's from legit charities?
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Legitimate charities get money from individuals and companies, only, not from the state. If they are getting money from the state they are illegitimate and should be shut down.
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That's a good enough delineation for me.
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It works well for everybody and is easy to apply. The easy to apply criteria is the most important.
NGOcompany takes money from the state. Therefore, only people with skin-in-the-game are able to vote where to spend their hard-earned tax money.