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The news is talking about the government will aid the help of children health insurance for some family in oder to encourage more people to create the company. Under Obama’s health reform, CHIP or SCHIP fund the children health insurance whose family income below a cutoff. Although it is difficult to define the line of “CHIP cutoff” family ,government decrease the risk of creating a company which could bring wealth for society. And Olds’ mechanism make the action of government more efficient.

In this case, the responsibity of people from government are different from it of people in the entrepreneur. Each person has responsity to their family, their society, their company etc. But right now the US government help them pay the part responsibity of their children health insurance, which act as a promoter to encourage them contribute to society. As Friedman’ article mentioned, company’s most important responsibity is to make maxium profit for the stakeholders. Thus in this children health insurance case, government reduce companies’s budget. Company could perform their responsibity better under the help from government in the US.

reference: http://blogs.hbr.org/2014/09/if-your-kids-get-free-health-care-youre-more-likely-to-start-a-company/