An off-balance budget metaphor
By Arthur R. Poskocil
Metaphors can be powerful aids to understanding, but they can just as powerfully impair understanding. One such metaphor that has been widely applied is that of the family in relation to American society, particularly to the national government.
On the one hand, society as family points to our responsibilities toward each other, our obligation for the welfare of others, and the we’re-all-in-this-together idea that brought President Obama so much grief during the presidential campaign. The howls of I-did-it-all-by-myself to the president’s suggestion that no one builds a company or anything else independent of the cooperative efforts of others, brought home how little meaningful community we have left in America today.
Poskocil teaches at Hollins University.
January 19, 2013 - 7:37 AM
“Cooperative effort of others“?? Given the radical ideology of this President, we the people know exactly what he was referring to. Big Government is responsible for anything that exists. That is what he wants us to believe. You can read into it any way you choose.
This commentary is spot on! Good job!
So…government investment trumps private risk-taking, government “winners” offer a far better ROI than do private organizations operating according to market forces, and government should always be allowed to spend according to its needs? Yeah, that’s what I thought he said. I guess I’m still not getting it. Where do Beacon, Solyndra, ABC123, Fisker, and others fit in this paradigm? Ask Chevy how its federally subsidized electric vehicles are selling. What’s the connection between our steadily-climbing electricity rates and federal “clean energy” mandates?
And by the way, it is far from conclusive that FDR’s spending programs actually contributed to the recovery of the American economy by 1942. Quite the contrary, statistical analysis of the period 1934-1940 shows that keeping Americans employed in public works was hugely inefficient. If anything, it hindered private investment, which is the only way to build long-term economic growth. This is clearly illustrated by the government’s (yes, the government’s ) WWII-related spending. Although it was government deficit spending, subbing out the work to business allowed for far more bang for the buck. And how was economic activity sustained after the war boom was over? Cutting taxes, that’s how.
History teaches only if we allow it to do so.
@3 Mr. Van Velzer, you have to look at all of history, not just the parts that confirm our own previous biases.
Speaking of history, remind me why FDR embarked on that massive spending program. Didn’t it have something to do with private capitalism imploding and throwing 25% of Americans out of work?
So according to Poskocil, federal spending creates jobs because if we cut spending jobs will be lost.
In 2002 through 2005 we spent about $2.5 trillion a year and had GDP growth in 2002 of 2.75%, 2003 3%, 2004 2.7% , and 2005 3.1%. The last 4 years we have spent OVER $3.5 trillion a year and economic growth in 09 was flat, 2010 it was 2.4%, in 2011 2.0% and 2.1% for the first 9 months of 2012.
Clearly the theory of more fed spending leading to job/economic growth isn’t supported by the data.
The employment numbers during the Obama reign are stuck. How could that be with all the spending? That debt, insignificant as it is, has grown nearly $6 trillion since Obama and the dems took office in Jan 2009. Shouldn’t we be showing more jobs, more growth for the “party” we had.
Though employment is stuck around 8%, two other numbers have risen disproportionately. We now have 11 million more people on Medicaid and nearly 16 million more people on Food Stamps since Jan 1, 2009. Again, how could this be with all the spending? Can we all join in for a chorus of “Happy Days are Here Again?”
The GSA spent about $823,000 for a Vegas convention a few years back. Immediately following said convention, the “party planner” Jeff Neely was given a $9,000 bonus. As touched upon above in #3, billions of tax payer dollars were lost as the left tried to mistakenly promote its green agenda. THIS is the DC which needs to be cut. There are several federal government agencies and programs that are resiliently ineffective as well as inefficient. I understand the GAO came out yesterday/recently with an analysis of the fiscal path we are on.
“UNSUSTAINABLE”..no kidding. The morally bankrupt position is defending the staus quo.
Arthur R. Poskocil, I stand in awe. Thanks for such an honest and accurate commentary. The battle may tear the nation family apart, just as it does for many families in this nation.
You will not win friends here among those professional haters, but I hope some people without axes will listen and understand you.
You nailed it sir!