December 8, 2013

Pocket paradigm

When we talk about the national debt, we tend to make no distinction between types of national debt. There is an immense difference between going into debt for capital investments like schools and bridges and going into debt to pay current operating costs. That's why a bank will lend you money to buy a house but not for dinner and a movie. Our national budget makes no distinction between buying schools and buying doughnuts. It should. - Sam Smith

1 comment:

Anonymous said...

I would add to that "waging senseless wars" to that distinction.

I would love to see a constitutional amendment which required all military-related expenses to be paid by payroll and other taxes on an as-you-go basis. If the government wages a war or, on the other hand, funds an intelligence agency or orders five new aircraft carriers; the whole cost immediately starts being deducted from paychecks throughout the nation and from capital gains transactions as well. No more raiding the social security trust fund, no more borrowing money - everything gets paid on an as-you-go basis.

American militarism would end in a nanosecond.