Walter Shapiro's main concern in his 1989 article
entitled The Gap Between Will and Wallet is
the concept of National Service. He explains that, while voluntary national
service were widely popular, the support for the idea was greater than the
amount of people actually willing to make the commitment to the service. A
large majority of those who signed up for service programs, such as in homeless
shelters of hospice centers, came from low-income families because they were
more willing to except the unfavorable work for a low wage. In an effort to
renew the spirit of national service as a means to promote citizenship and
civic engagement, the idea for a Citizen Corps was proposed. This program would
consist of 1 million high school graduates who would commit to a minimum of 1
year working of the Citizen Corps. They were given two options: work for
$100/week in places such as homeless shelters and underprivileged communities,
or enter the armed forces for a wage far below that of regular soldiers. This
program would be a requirement to be eligible to receive any sort of federal
aid for college tuition. As an incentive, those who participated in the program
would receive a $10,000 voucher for each year of civilian service, $24,000
after a two-year military commitment. The response to this program varied
greatly. There were those who supported the idea as a way to bring back
national service and "close the gap" between the willingness and
desire to provide service but reluctancy to make the financial or time
sacrifice. However, many viewed this as an extreme means of government coercion
to perform service, and placed the poor at a disadvantage since they were the
population more likely to need the federal aid, and therefore required to
participate in the program, in order to attend college.
This idea of national service can be related to our
discussions in class about public goods. The benefits of national service are
clear: increased civic engagement, support to lower-income and disadvantaged
communities, increased citizenship, etc... However, due to difficulty in
recruiting participants, the demand for national service exceeded the supply,
and the supply of national service at that time was less than the optimal
quantity to society. Society could be made better off if more national service
was provided. Therefore, the government took action to essentially create
public provision of a service currently subject to the private decisions of
citizens with regards to participation or abstention front he program. The
vouchers can represent a version of a subsidy to those who choose to
participate in the program, since the opportunity cost of their 1 year
commitment was either the salary, likely a higher one, they could have
made in their next best job alternative, or the value they placed on the higher
education they could have pursued instead. The issue, however, is the method of
forcing participation in the program. By making it a requirement to receive
federal aid for college, those who cannot afford college, and choose to not
participate are made worse off, and may likely not be able to attend college.
On the other hand, those who could afford the full college tuition were not
subjected to the decision between college and the national service program, and
may have been less likely to join. This created a notable selection effect for
participants. Therefore, Citizen Corps, while attempting to increase the supply
of a public good, is not is not a fully pareto-optimal solution.
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