Monday, August 15, 2011

Cut Spending

"If it is unnecessary to adjust the amount of expenditure to the means available, there is no limit to the spending of the great god State."

Ludwig von Mises (1881-1973)

Ever notice how gubment never gets by with less? There are never cuts in gubment spending, except perhaps for defense. Everything else is a "cut" in the rate of growth. But gubment always grows, always demands more and that can only come from one place. From you and from me.

And the biggest falsehood promulgated upon a people is that the gubment must somehow "pay" for a cut in spending OR a "cut" in taxes! Pay for it?! It can be paid for by simply spending less! What a concept.

A dollar kept in the private sector flows around the economy (called the velocity of money) more fluidly and many dozens of times more than a dollar sent to an inefficient, bloated bureaucracy which doesn't care how much waste occurs. If anyone wanted to "stimulate" the economy, a real cut in gubment spending is one of the best ways to make that happen. Think that'll ever happen?

Dream on.

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