An easy way to balance the budget without tax increases

Posted by: Phineas on October 5, 2010 at 3:19 pm

The current deficit of the United States -the difference between the federal government’s expenditures and its revenues- is roughly 1.3 trillion dollars, according to the Department of Commerce. That’s how much the government has to borrow in order to finance crucial services, such as Barbara Boxer’s research trips. Members of the Statist Democratic Party tell us that the only way to close this deficit is to raise taxes, whether through higher levies on “the rich” (the definition of which is rather broad) or some form of a value-added tax on top of everything else, or a combination of both.

Dan Mitchell of the Cato Institute calls “bull” on this. In this short video, he shows how one could easily balance the budget by doing something almost unheard of in Washington: showing some restraint.

In earlier years, even the minimal method Dan recommends would have been almost unthinkable, let alone eliminate whole departments of the government. But, if the elections next month and in 2012 turn out to be the true populist, anti-establishment wave that it seems to be building into, we may yet see some restraint at least in Washington’s wastrel ways.

(Crossposted at Public Secrets)

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4 Responses to “An easy way to balance the budget without tax increases”

Comments

  1. Only two problems with that scenario ST…

    1. Filibuster
    2. Veto

    At least with #1 the GOP might force the Democrats to actually follow through on it. Oh, wait they don’t have the stones to do that…

  2. Jo says:

    Restraint????? Restraint?????? Restraint??????? Who is this guy kidding? There is a sum zero chance of restraint when the jackasses are in power (not to demean the mammals known as donkeys when referring to power-grabbing, overpaid Democrats). Again, who is this guy kidding?

  3. Kate says:

    So true Jo….there is no longer anything remotely looking like restraint in Washington DC. The best restraint I can think of is owned by the voters. Voting out the current incumbents who hold the idea that the budget cannot be balance without increased taxes and all the other scams noted in the video is our only hope.

    A cap doesn’t work…in the past we have seen the weasels squirm around them.

    Budgets are not passed….as we have just witnessed. They vote on provisional appropriation bills and then go home for election season hoping to have the Bush tax cuts die and then they have their tax increase to continue to fund their pet program and not deal with entitlement programs that are in dire need of reform.

    This outright laxity and refusal to do the hard work of balance a budget, let alone solving the problems that got them there, should make everyone angry. As citizens we are asked to give more and more in the way of taxes and to live within our means. Shouldn’t we be asking the same of our legislators?

  4. Jo says:

    Exactly, Kate!