We're Bankrupt Because Republicans Didn't Make Enough Profit!

On an NPR story about California’s bankruptcy, there’s this unbelievable comment:

The Republicans won’t admit that the tax revenue problems are due to the abject failure of the private sector to earn money on which taxes are paid.  The budget is set using economic predictions about the income and spending in the state.  When the economy collapsed due to fraud and abuse (by Republican company CEOs!), they blame government for overspending.  They need to look in the mirror, it was their failure to maintain a stable economy and earn money that is causing the problems.

This is so absurd that it seems likely to have been written in jest, by someone intending to make fun of extreme liberal positions.

On the off chance that it’s meant to be taken seriously, well, I don’t even know where to begin.  I guess I would want to point out the flaw in the overarching viewpoint here: the idea that budget problems are income issues rather than spending issues. 

When an individual spends more than he earns, we call it irresponsible, and we say he must spend less.  It would be absurd to suggest that he go to his boss and demand a higher salary to pay for his irresponsible spending.

It’s hard to imagine that anyone would believe that the reverse is true for governments.  But even if you did believe that, you’re still bound by the laws of reality: you can’t simply create more income, but you can simply reduce your spending.

Posted by Anthony on reply

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