500 euros for 18 year olds: a brilliant idea. Or is it?

“The 550 thousand Italians who will turn 18 will be able to take advantage of a card, a 500 euro bonus card each, to take part in cultural events. “ With these words the Italian Prime Minister Matteo Renzi has announced one of the measures with which he plans to combat terrorism: defence and cybersecurity and culture. 500 euros for everybody who turns 18 this year. With about 550 000 young people who will be eligible, the total cost of this measure for the Italian state will be EUR275m. But is it really worth it?

Reasons why the 500 euro bonus makes sense

1. It will encourage young people to discover and enjoy the treasures that Italy has luckily been endowed with. This would push teenagers to visit more museums, go to the teather and overall participate in cultural activities. Which can never be bad.
2. It will increase funding to museums and cultural events. The state is indirectly funding museums and cultural establishments though this measure, essentially providing additional resources for them to use.
3. It will help young people rediscover what makes us Italians. As the measure was mentioned in connection with an effort to stop the spreading of extremism, it might serve to “reconnect” youngsters with the cultural heritage of our country.

But I am not buying these reasons. Here’s why I think this is nuts:

1. It is essentially an electoral decision. The measure narrowly appeals to a small cohort of voters, and I see it as akin to buying votes
2. There are much more efficient ways to fund museums. Such as directly giving money to museums for maintenance, or to reduce the price of admission for example.
3. There will be caveats, but they may not end up being very stringent. We could see those 500 euros being spent on shows that might not actually be deemed cultural. Including cinema tickets and concerts.
4. It is an expensive measure. In a time where public finances are stretched, a 275m expenditure is not ideal. This essentially translates to a burden of 4.5 euros per Italian citizen. Granted, might not seem like much, but there are surely better ways to employ this capital, such as cutting taxes.
5. The measure is unfair. Why 18 year olds? Why not 15? Or 21 for that matter? What about people who turned 18 last year? Or why is it not related to family income?
6. But fundamentally this does not address the main problems that young Italians are facing. With youth unemployment at 40.5%, we can say without doubt that a 500 euro bonus will not be what most teens desire. For poorer families, those where maybe one parent is unemployed, a bonus that cannot be used for anything other than “cultural consumption” will be seen, to put it mildly, as completely useless. For more affluent families, on the other hand, the 500 euro bonus is not necessary, as those teens can actually afford to go to the theater without being subsidized.