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Originally Posted by dpow
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The subsidy is from a government-created program called Lifeline, which is paid for by customer fees on most phone bills.
The program is overseen by the Federal Communications Commission, and has its roots in a universal access initiative that began in 1985, during Ronald Reagan's administration.
There are 17 million households currently signed up for the program, up from under 7 million just four years ago.
There are two reasons for the rapid growth.
First, the recession dramatically increased the number of people who are eligible.
Second, in 2008, during George W. Bush's administration, the FCC allowed wireless carrier Tracfone to join the program's list of approved providers.
Who gets rich off 'free' government phones - Oct. 26, 2012
First, Obama didn't give them a free phone. Ronald Reagan made it possible for these phones. More people are qualifying since George W Bush caused this economy downfall.
Obama is trying to keep these people from falling into the windfall of the previous President. But it's easy for people to point the finger at the current administration instead of doing a little research and getting the facts straight.
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