soccerballtux
Lifer
- Dec 30, 2004
- 12,553
- 2
- 76
Originally posted by: Double Trouble
Originally posted by: Craig234
Originally posted by: Double Trouble
[Even in this horrible economy, with the state facing enormous deficits and huge problems, NY managed to actually increase their spending yet again. If this situation isn't enough to make them actually cut spending, what is? Cali is the same boat, and they too will end up actually increasing their spending, not decreasing it.
One thing that may seem perverse but has logic to it is that in economic downturns, government spending is especially helpful in keeping the economy going.
The time the government should cut spending is as it recovers - you can see times the deficit, at least, has been greatly reduced, after WWII, and in the 1990's, for example.
Both of those were times of recovery.
The problem is Republicans figured out that between spending, taxing and borrowing, the public will support high borrowing to get high spending and lower taxes.
The problem is, they were right about the politics. To an extent, the American people are to blame as well for that culture, voting for 'borrow and spend' politicians.
Ok, so in times of economic downturn, the government is spending more to try and push the economy up a little. So, in great times spending goes down, correct? NO. It does not. In good economic times, the government generally increases spending at an even faster rate instead of putting away money to pay for the hard times. So you've admitted then, that my point was absolutely correct: government spending rarely if ever goes down, it only increases, increases, increases. Spend spend spend, then worry about how to pay for it (increase taxes/fees?), never worry about how to reign in spending.
Of course the people are to blame, we keep voting in idiots who want so squander and spend more and more and more. We don't vote for people who don't promise to spend lots on all sorts of stuff.
you can see times the deficit, at least, has been greatly reduced
Yeah, the deficit sometimes gets reduced, but that just mean we're still spending too much, just less so. An no point does actual spending ever get significantly reduced. That seems to be the natural path for government spending all over the world, it never gets reduced. Heck, why would it? Those who spend the money have no incentive to figure out how to spend less.
If my understanding is correct the neocon philosophy is to encourage this to the point that the government is so overburdened with debt that the public sector/banks will have veto power over government expenditures. This means anything except military spending will be fair game. Government will only be able to spend on things which economically make sense.
That would be wonderful.
My only fear is it could lead to a further disparity between wealth. Middle class taxed more and more until there's no point in working to become middle class, because you're just lower class anyways after all the Cali and NY style taxes.
If we could accomplish this without destroying the middle class I dare say the government would be forced to become much more lean and efficient.