Government actions defy fundamentals of economic theory
To the editor:
Let’s put things into perspective.
The national debt is quickly approaching the $20 trillion mark with no end in sight. We are looking at unfunded liabilities for Medicare, Medicaid and Social Security well in excess of $100 trillion. There are more Americans without jobs or skills than ever in the history of our republic.
Illegal immigrants are pouring over the southern borders in unprecedented numbers. The Great Society has created a dependency class at the expense of those who work like dogs just to keep financially afloat.
What “solutions” have been offered up? Raise the minimum wage. Raise taxes on the rich. Put corporations’ feet to the fire by maintaining the highest corporate tax is the world. Raise social security payments. Create a carbon tax to combat climate warming that really does not exist.
Washington bureaucrats have never seen a tax they didn’t love, and when they spout nonsense like “revenue neutrality,” hold on to your wallets. Increase jobs? Indeed, by creating even more bureaucracy and regulations to manage spending the taxes acquired. Who gets burned? The average American consumer.
Whenever the government increases spending and creates more massive bureaucracy, there are inevitable diminishing returns to scale - getting less and less per-unit bang for the buck. These actions defy the very fundamentals of economic theory in a so-called free society.