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  • Setting the Record Straight: Spending Cuts

    The Heritage Foundation favors far-reaching reforms of our Federal Government’s spending, including with respect to entitlements. The ever-growing, out-of-control entitlement culture fosters dependency instead of self-reliance.  At the same time, the Federal Government takes and spends an ever-growing portion of the wealth of this Nation, and spends the money of future generations.  This cannot continue.  We must overhaul Federal entitlement programs and get their cost under control, before the country bankrupts itself.

    Although entitlement reform is essential in reining-in Federal spending, The Heritage Foundation welcomes fiscal discipline across the board.  Responsible reductions in non-entitlement spending are, of course, welcome, too.  Ronald Reagan believed, as does The Heritage Foundation, that sometimes you can’t get everything at once.  Sometimes you get some of what you need from Congress now, but then you keep on fighting for what is right and get the rest of what you need as soon thereafter as you can.  The effort to secure an end to Federal overspending is that kind of continuous fight.

    Recently, a Minneapolis Star-Tribune editorial made statements that its readers could misconstrue as indicating that Heritage believes that cuts in Federal spending are not worthwhile in the absence of deep cuts in entitlements.  To the contrary, Heritage welcomes the full range of responsible spending cuts.  Indeed, Heritage has long been at the forefront of the effort to rein-in Federal spending in all areas.

    Posted in Economics [slideshow_deploy]

    4 Responses to Setting the Record Straight: Spending Cuts

    1. WHICH WAY says:

      Check Cuba…do you think laying off a million government employees will cut costs/spending ? Maybe they reached the point that printing more money stopped working. Natural law in economics always works even when economists try to work around them.

    2. TJS, FL says:

      Chopping government spending and regulations down to size is the #1 issue. We need specifics. Heritage Topics should be reorganized to focus on cutting government.

      1. Reduce federal budget back to 2005 levels

      2. Constitutional amendment (a) limit federal spending ex defense to 12% of GDP (b) require balanced budget except for direct costs of declared war

      3. Forbid all subsidies, loans, guarantees, insurance

      4. Transition social security to private accounts; goal is to make all workers millionaires at retirement; no payments to millionaires

      5. Create a regulation budget, limited to 5% of value of GDP

      6. Simplify tax code to not more than 10 pages. All income earners will pay at least 5% tax. Top tax rate is 25%.

      7. Require federal government to pay back all debt, at least $200 billion per year, plus interest

      8. Forbid borrowind (stealing) from trust funds

    3. Leon Lundquist, Dura says:

      As long as the Federal Government is willing to spend a dollar to give away a dime, the whole subject of Entitlement Reform is insane. Progressives will solve their little problem with the collapse of everything, they have no intention of paying any of their debts (our Debt.) Waste is Public Policy, the more obscene the better. Reason cannot be used to explain Obama's actions, perfidy answers everything. Who cares about Seniors when everybody is pathetic? No problem, the People who die in Obama's fundamental transformation of America will be the least of your worries. I don't think the Vote is soon enough, the damage to America is faster than credulity allows Americans to comprehend. We need an immediate Injunction on everything Obama does, this guy is criminal. "Stop killing us!" as we are rushed off the cliff.

    4. George Colgrove, VA says:

      TO expand on TJS:

      1. Cut spending to 75% of 2000. Government was already too big at that time and should be cut using that as a datum point.

      The rest I can deal with.

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