Welfare spending has become "An entitlement" and is always added onto existing spending.
Since increased government spending must, by definition, reduce "Private purchasing power," welfare spending hinders the ability of the economy to recover just when more "Private purchasing power" is needed most.
Resources that should have been reallocated to new products and services desired by the public are instead reduced, not increased! Not only that, but welfare payments tend to disincentivize businesses from taking actions needed to redeploy their capital and to reduce labor's incentive and ability to relocate or acquire new skills.
What? Force businesses to close, and throw great portions of the population into destitution? This need not be the case.
Just as capitalists must be responsible for the financial health of their companies by saving when times are good and always being sensitive to the needs of the market, labor needs to be just as responsible.
Capital needs to invest continuously into more-productive processes, and labor needs to invest in personal skills that will be needed in the future.
Profits from successful companies are taxed away at a high rate, and labor is subject to propaganda that the state will provide.
https://mises.org/mises-wire/welfare-state-prolongs-recessions
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