It may be worthwhile to spend a few million dollars to determine the efficacy of program that would involve spending billions of dollars. - Harvey S. Rosen

"Welfare" in the United States is a patchwork of more than 80 programs that provide benefits primarily to low-income individuals. These programs are means tested - only individuals whose financial resources fall below a certain level can receive benefits.

Some argue that an income tax is unfair because it taxes capital income twice: once when the original income is earned, and again when the investment produces a return.

The First Welfare Theorem holds only if all consumers and firms are price takers. If some individuals or firms are price makers (they have the power to affect prices), then the allocation of resources will generally be inefficient.