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13% Spending Reduction Is Called a Shutdown?

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The media, even Fox News, is generally calling the 13% reduction in government spending a SHUTDOWN of the GOVERNMENT.  This is surely an exaggeration.  Perhaps in a society whose government-run and funded schools have long exaggerated student achievement with grade inflation, this is to be expected.  A society that has long inflated the ability of government to solve problems and do it much better than individuals can by managing their own lives, is bound to be terrified by a mere 13% reduction in government spending.

Of course life continues despite the Obama Regime paying federal employees to put up barriers and to wire those barriers together to keep veterans from approaching the WWII Memorial, which is not even attended by federal employees in routine times.  It is amazing to watch the pathetic efforts of this administration to convince the People that they should be terrified by a 13% reduction in government spending and the subsequent furloughs of some non-essential government employees.  Except, of course, those employees so essential for barricading the various facilities such as the WWII Memorial and the Grand Canyon which do not even require the attendance of federal employees.

It is even more pathetic that many people buy into these scare tactics by the power lusters who rule the USA.

The failure of the Senate to agree to a spending authorization coming from the House of Representatives to fund so-called discretionary funding, means only that the small part of government activities which are both discretionary and designated non-essential by the administration will not be available.  Discretionary spending is only 20% of actual government spending!  Weirdly, the constitutionally required provision of defense is classified by our insane government as discretionary spending, while all of the transfers of money from taxpayers to individuals is called mandatory spending.  Since defense spending and other security spending and Veterans Affairs spending are hardly being reduced despite the Democrat refusal to authorize it and the willingness of the House to so authorize it, the actual spending reduction is only about 13%.

Meanwhile, despite all of the scare mongering, the government continues to spend $2.5 trillion in the new fiscal year on Social Security, Medicare, Medicaid, disability payments, unemployment insurance, and the interest on the national debt.

The government is not shutdown.  The monster has not even been slimmed down.  This is like making the monster wait at most 45 minutes longer before dinner is served.  It is no big deal however angry the monster may get about not being able to fully indulge its all-devouring appetite.


Source: http://objectivistindividualist.blogspot.com/2013/10/13-spending-reduction-is-called-shutdown.html


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    Total 5 comments
    • Decode the World

      Great post, thanks for sharing with everyone.

    • soba1

      Ummmmm why not end farm subsidies to large corporations.
      No one is talking about a reaction in military spending.
      What about foreign aid to Israel and other countries.
      I say this article is BS written by another shill for the corporations.
      Does the author work for the Koch brothers and the like.

      • Thane36425

        Most of the waste in government comes from the Social Spending side. Well over 50% of the federal budget goes to transfer payments of one kind or another. Tens if not hundreds of billions are lost to fraud and bureaucracy every year. If you really wanted to save money, you would fold all of the 120 plus welfare programs into two agencies: one for the dole, one for health care. The first agency would handle all things like rent, living money, etc. and would be controlled by fingerprints, photo ID, etc. and would be paid in one lump sum each month. This would greatly cut down on fraud, double dipping, etc. and would mean thousands fewer bureaucrats. The second would be basically as Medicaid is now only with more screening and fraud protections. These steps alone would save far more than cutting subsidies and such.

        Lastly, this would no longer be mandatory spending but would have to be voted on every budget cycle like everything else so the people could see just how much it was costing.

    • Thane36425

      Congress is only talking about spending reductions and not actual cuts. What they mean by “cut” is a reduction in future spending and not baseline cuts.

      Say you a budget of $100 per month for food and this increased $10 every year. Let’s say you needed to cut spending 10% and so you reduce that $100 to $90 and maybe drop that $10 annual increase. What Congress would do is keep the $100 in place and reduce the annual increase to $9.

      That means the next year you would be spending either $90 or $100 (if things looked up) on food but Congress would be spending $109. Both of you would be calling it a cut but only one is right.

    • usathoughts

      If these numbers are close to being correct the solution is obvious.

      Private industry has suffered far more than a 15 percent cut. Americans, outside of government, have suffered far more than a 15 percent cut in living standards. The Labor Participation Rate is down over 21 percent.

      Are we to accept that the “Servants” of the body politic are now our ‘Masters’.

      We are hammered with the idea of ‘equality’, and ‘fair’ redistribution by the government. Agreed, let it be so.

      On the way to a balanced budget, start with the above. Reduce overall Agency spending by 15 percent. Reduce worker compensation by 15 percent. Reduce government worker participation rate by 21 percent. Once we have achieved equality, then and only then does Congress look to budget planning.

      Will the government consider the above? Not on your life, well, on your life but not theirs. When the slave becomes the master there is no turning back. This is the secret of the Democratic Parties success.

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