I don’t understand why the generation that snacked on lead paint chips is allowed to be in charge of this country.

It's what the American voters wanted.

My understanding is that paint is only very rarely stripped out of existing houses. It's normally just painted over.

In the US, lead paint prohibitions went into place in 1978.

So unless you've avoided being in buildings constructed prior to 1978, you have probably been in buildings with lead paint.

That's not to say that there aren't benefits to painting over lead paint. I'm sure that it reduces the amount of leaded paint dust and such. But a chip can still contain paint from an earlier coat.

https://en.wikipedia.org/wiki/Lead-based_paint_in_the_United_States

In 1971, Congress banned the use of lead-based paint in residential projects (including residential structures and environments) constructed by, or with the assistance of, the federal government.[3] The Consumer Product Safety Commission followed with implementing regulations, effective in 1978.[4] Additional regulations regarding lead abatement, testing and related issues have been issued by the Environmental Protection Agency (EPA).