Relay-Version: version B 2.10 5/3/83; site utzoo.UUCP Posting-Version: version B 2.10.1+some 2/3/84; site dual.UUCP Path: utzoo!linus!decvax!harpo!ulysses!mhuxl!ihnp4!dual!fair From: fair@dual.UUCP (Erik E. Fair) Newsgroups: net.flame Subject: Re: Ronnie, Ronnie, ... Balanced Budget Message-ID: <280@dual.UUCP> Date: Tue, 14-Feb-84 23:06:22 EST Article-I.D.: dual.280 Posted: Tue Feb 14 23:06:22 1984 Date-Received: Thu, 16-Feb-84 00:41:06 EST References: <870@ihuxm.UUCP> Organization: Dual Systems, Berkeley, CA Lines: 35 There's this neat tenet of Keynesian Economics that says that deficit spending by the gov't in times of econimic downturn, recession, depression, etc. is necessary to stimulate recovery. Why do you think that we're in an economic upturn anyway? Ronnie has been spending megabucks for his (our) war machine, and not in the places where it needs it, like salaries & benefits, but in the places that do the `military-industrial' complex some good (i.e. weapon systems). If you look at it through Keynesian glasses, most of the unemployment and other `entitlement' programs are an automatic way of increasing gov't spending when the economy dips. No congressional or executive mandate/resolution/action needed. In short, I don't think there will ever be any sort of rule, constitutional amendment, etc. that will force a balanced budget, unless the people force it on the Congress. They'll wish they hadn't later on, anyway. What would be more interesting is a flat percentage income tax rate with NO deductions, or execptions. Then congress would have to worry a lot more about increasing the tax rate, because it would be more obvious to everyone. Most of what the IRS does now would be reduced to figuring out just what is income and what is not. Better yet, (and just as unlikely), suppose we push legislation that says that the individual taxpayer may say exactly on which departments and programs his money may be spent... You could remove the Congress from the loop (and incidentally remove about 4 months worth of bickering), and the people would really get what they asked for each year. (Question, will they be smart enough to know what they want?) Erik E. Fair dual!fair@BERKELEY.ARPA {ucbvax,ihnp4,cbosgd,amd70,zehntel,fortune,unisoft,onyx,its}!dual!fair Dual Systems Corporation, Berkeley, California