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Speaking at a New Hampshire diner about government waste, the Kentucky Republican said "there's always somebody who's deserving" of entitlement programs, "But everybody in this room knows somebody who's gaming the system."

In full 2016 mode, Rand Paul starts New Hampshire blitz

"What I tell people is, if you look like me and you hop out of your truck, you shouldn't be getting a disability check. Over half of the people on disability are either anxious or their back hurts -- join the club," he said, drawing a few laughs from the audience. "Who doesn't get a little anxious for work everyday and their back hurts? Everybody over 40 has back pain."

Paul qualified his comments, saying there are people who are legitimately disabled but reiterated that there are also "malingers" who are essentially taking money "from the people who are paraplegic, quadriplegic."

"We all know people who are horrifically disabled and can't work, but if you have able-bodied people taking the money then there's not enough money left for the people who are truly disabled," he added.

Ray Buckley, chairman of the New Hampshire Democratic Party, was quick to pounce on his comments, saying in a call with reporters that the remark was "ridiculously reminiscent" of Mitt Romney's controversial argument in 2012 that nearly half of Americans back Obama because they rely on government support.

Buckley acknowledged that there is fraud in the system but argued that Paul's estimation that more than half of beneficiaries shouldn't qualify was "way out of nowhere" and a "detachment from reality."

According to a December 2014 report from the Social Security Administration, 14% of those who were issued disability benefits were diagnosed with "mood disorders," while 28% reported "musculoskeletal system and connective tissue" diseases, which would be related to back problems.

What's happening in 2016: Romney and everyone else

Critics argue that the list of ailments covered by disability benefits is bloated and far too easy to take advantage of, resulting in millions of dollars in over-payments.

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Democrats hit Rand Paul for disability comments

21st Century Democrats: Rotondaro on the Cuomo Legacy; Chappell on MLK LBJ
First, Fred Rotondaro says Mario Cuomo is a legend, and he says the closest person we have to Cuomo as a "no-apologies progressive" is Elizabeth Warren. Next, what was the relationship between...

By: 21stdems

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21st Century Democrats: Rotondaro on the Cuomo Legacy; Chappell on MLK & LBJ - Video

Democrats propose new plan to redistribute wealth
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Democrats propose new plan to redistribute wealth - Video

Senior Democrats in the Housearereleasing a major proposal on the economy Monday meant to lift the incomes of the lower and middle class. Among other things, Rep. Chris Van Hollen (D-Md.)wantsto reduce tax bills by $2,000 for every family earning less than $200,000 a year.To replace that money in federal coffers, Van Hollen would taxtrades in the stock market andwould get rid of manytax breaks that disproportionatelybenefit the wealthy. It's a populistplan that wouldredistributesome $1.2 trillionfrom the richest Americans to the middle class, andit won't move an inch in the Republican Congress. That said, Republicans recognize they need an answer of some kind to show they understand the financial difficultiesof working Americans. "You talk to any pollster, on the Democratic side or the Republican side, they're in complete agreement on the idea that there has to be an economic populist message,"Matthew Dowd, a campaignstrategist for former president George W. Bush, told The Washington Post. Conservatives havebeen busy over the past few years brainstormingnewpolicies on the economy. The problem for Republicans is thatnone of those ideaswould be an easy sell for aspiring G.O.P. candidates. Still, they have discussed some ideas that could be both conservative and populist at once. Here are a few:

1. Financial support forfamilies andlow-wage workers

Republicans have also proposed direct financial help, although for a smallerportionof the working class.Sen. Mike Lee (R-Utah) wants tomake raising children less costly by increasing the child tax credit. Sen. Marco Rubio (R-Fla.), himself a possible candidate for the presidential nomination, hastalked aboutsweetening the potfor low-wage workers, an idea that President Obama also supports in principle. There are a couple of complications. The first is that while Democrats have no qualms about proposing major tax increases on investors and wealthy Americans, Republicansdo, and they still need a way toreplace the money the Treasuryloseswhenthe working class pays less in taxes. A tax increase is probably out of the question, but even simplifyingthe tax code and producing more revenue by eliminating tax breaks wouldstill prove challenging for Republicans, asformer Rep. Dave Camp (R-Mich.) discovered. Also, even ifthese tax policies could be paid for, many Republicans still feel strongly thatthe federal government should not redistribute wealth, and they've argued that Lee's proposal, for example, would redistributewealth from people without children to parents. Republicanpresidential candidates will likelyhave to convince the conservative establishmentthattheir tax plans are not a de facto redistribution of income.

2.Shorter prison sentences

The United States has more people in prison than any other country. Lengthyprison terms not onlyrestrictthe financialprospects of families in impoverished neighborhoods where crime often seems like the only way to make a living. Prisons arealso expensive to maintain, and they'rehamperingthe economy as a whole. Lee andRep. Paul Ryan (R-Wis.), among others, supportmore leeway forfederal judges in handing downsentences, rather than attaching minimum sentences to certain crimes.Over time, as current prisoners are released and future inmatesserve shorter terms, the incarcerated population would decline. Last year may have markedthe beginning of the end of being "tough on crime"as a reliable strategy forwinning elections. Manyconservative politicians have endorsed a less punitive criminal justice system. That said, any realeffort at reducing the prison population will likely involve leniency for violent criminals.It's easy to imagine the attack ads that a Republican presidential candidate could launch in a primary campaign against a rival who endorsed Lee's ideas,however justified they might be on humanitarian or economic grounds.

3.Fewer licenses to work

Another idea that Ryan has endorsed ismaking it easierto work in occupationsthat currently require a license. You need a license to do all kinds of jobs -- florists,auctioneers and hair-braiders all require licenses in some states. Their work might require special expertise or training, but the license imposes an additional burden of time and money that is arguably superfluous. There are probably many people who are out of work, even though they couldmake a living in these occupations and would enjoy doing so if onlythey had a license. The problemis that almost all of these regulations are imposed bystate and local governments, so it would be difficult for a presidential candidate to crediblycampaign on reducing occupational licensing. Incidentally, the same is true of prison sentences. Almost all of the country's inmates are in local facilities. And, as with tax reform, any specificproposal toeliminate occupational licensing will lose the votes ofeveryonewhobenefits from the status quo, those who have licenses already. Republicans have several goodideas aboutimproving the economic prospects for the poor and the middle class. Incorporating those ideasintoa presidential campaignwould be a political gamble.

Max Ehrenfreund is a blogger on the Financial desk and writes for Know More and Wonkblog.

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Wonkblog: Yes, conservatives can respond to Democrats big new economic proposal

Senior House Democrats Nancy Pelosi (Calif.), Steny Hoyer (Md.) and Chris Van Hollen (Md.) discuss the budget at a news conference on Dec. 5, 2013. (AP/J. Scott Applewhite)

Are the states still "the laboratories of democracy," as Louis D. Brandeis said? Aaron Chatterji, a White House economist during President Obama's first term,is worried about the nation'sR&D department:

From Obamacare to the Common Core to the president's new proposal to reduce the cost ofcommunity college, many of the ideas inthe current national public policy debate originated in the states, as it did in Brandeis's day. The difference is that now, many of those ideasare meetingfierce opposition. Read the rest of Chatterji's piece here.

What's in Wonkbook:1) Democrats' economic agenda2) Opinions, including Blow on Tamir Rice3)WhyKeystone XLstill matters, and more

Number of the day: 1.7 percent.That's the increase in hourly wages for the average American workerlast year -- which is almost nothing, butis still better than inflation, thanks to falling oil prices.Matt O'Brien in The Washington Post.

1. Topstory: Democratslay out economic agenda

Theproposal from senior lawmakers isn't likely to go anywhere for now, but it establishes Democrats' position for the upcoming campaign. "The centerpiece of the proposal, set to be unveiled Monday by Rep. Chris Van Hollen (D-Md.), is a 'paycheck bonus credit' that would shave $2,000 a year off the tax bills of couples earning less than $200,000. Other provisions would nearly triple the tax credit for child care and reward people who save at least $500 a year. The windfall about $1.2 trillion over a decade would come directly from the pockets of Wall Street 'high rollers' through a new fee on financial transactions, and from the top 1 percent of earners, who would lose billions of dollars in lucrative tax breaks." Lori Montgomery and Paul Kane in The Washington Post.

Meanwhile, the Wall Street money has dried up for the Democratic Party. "Of course, the flight of financial sector money is not the sole reason for the increasingly populist arguments from Democratic politicians. But it has helped the debate to move, ever so slightly, away from Wall Street support. In the last two elections, according to data from the Center for Responsive Politics, Democratic Party committees and candidates saw their share of contributions from finance, insurance and real estate donors shrink to the lowest percentages since at least 1990." Paul Blumenthal in The Huffington Post.

Republicans are looking for a populist message, too. "'You talk to any pollster, on the Democratic side or the Republican side, they're in complete agreement on the idea that there has to be an economic populist message,' said Matthew Dowd, a top strategist for former president George W. Bush's 2000 and 2004 campaigns. 'Then it comes down to "Are there credible solutions and is there a credible candidate?" ' "Philip Rucker and Dan Balz in The Washington Post.

VINIK: With the improving economy, Democrats confront a political conundrum. "How do they take credit for the economys successes while empathizing with working class voters who havent seen those successes? One possibility is to have different party leaders express different sentiments." The New Republic.

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Wonkblog: Wonkbook: Democrats take a sharp left on the economy