Government Incapable of Providing Services, Causing Fiscal Cliff
Biderman on the Fiscal Cliff issue.
There are two parts to the fiscal cliff equation. Government spending on services and taxes. Unfortunately almost all the discussion about how to fix the long term problem has been about taxes.
Focusing on taxes to raise revenues to provide government services requires making a key assumption that governments can effectively provide services. But what if the real problem is that the US government by its nature is incapable of providing cost effective services? I say that government spending on services are not only cost ineffective but probably harmful to the overall economy.
Why is no one else saying that government spending is ineffective and harmful? I can even demonstrate that government control of health care has been 70% ineffective.