Welfare the organic composition of capital and must be

Welfare directly affects the accumulation,
affecting innovation and upgrading of economic structure. A society should
raise the level of consumption and implement high welfare on the premise that
it is necessary to raise the level of production. The production here is not a
simple reproduction but an expansion of reproduction. Nor is it a mere
expansion of production scale, but an expansion of reproduction through
technological innovation and upgrading of industrial structure. Such expanded
reproduction has no borders and can provide a steady flow of consumer
information. And such an enlarged reproduction necessarily requires an increase
in the organic composition of capital and must be sufficiently accumulated.

High welfare hinders economic development one of the reasons.

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High welfare is prone to moral calamity,
resulting in the waste of social resources and national inertia. The high
welfare provided by the state is a kind of public goods, which, like the big
pot of rice under the planned economic system, does not eat or eat without
eating, thus laying down moral calamity. The concrete manifestation is that
under the high welfare, the utilization rate of social security resources is
not high, such as the waste of medicines and other medical resources in public
medical services;

Some people could have been employed
instead of being actively employed, over enjoying the leisure time brought by
social security and unemployment insurance, and choosing to retire early;
over-reliance on the state, self-accumulation, weakening the enthusiasm and
ability of self-protection; and so on. Once these phenomena are universal, the
social resources are seriously wasted and the national spirit is no longer
positive, it will affect economic development.