The federal government has spent enormous sums of money, and will spend a great deal more in the coming year. But what has it gained?
America’s national debt stands at $31.4 trillion, and the annual deficit as of November was $249 billion. That absurd deficit figure is a record-breaking jump over the prior year, $57 billion higher than November of 2021, with federal spending up $28 billion from last year to $501 billion in November 2022.
Unlike prior periods of extensive spending, there is little to show for the profligacy of federal, state and local government spending. The much-touted Infrastructure bill will add about $400 billion to the deficit, according to the Congressional Budget Office, but confidence is low that it will actually assist infrastructure. While the public may believe its funds will be committed solely to roads, bridges, and similar programs, A KPRC study lists a number of projects where the cash will be diverted to. These include: $10 Billion to Create a ‘Civilian Climate Corp’; $20 Billion to ‘Advance Racial Equity and Environmental Justice’; $175 Billion in Subsidies for Electric Vehicles; $213 Billion to Build/Retrofit 2 Million Houses & Buildings; Billions to Eliminate ‘Racial and Gender Inequities’ in certain educational areas; and $25 Billion for Government Childcare Programs.
Occasionally, the government’s use of copious amounts of cash can be justified. Over the past several years, Washington has indeed spent a great deal. Covid accounts for a portion of that, but far more has been designed for other causes that seem to have little benefit.
The southern border remains unsecured, with far too much spent on taking care of illegals who should not have been admitted in the first place.
Despite vast sums spent on defense, China has a larger navy and Russia a more powerful nuclear force. The Taliban now has a vast supply of our weaponry, thanks to Biden’s inept withdrawal. As the very real threat to American National Security grows, the Pentagon prioritizes “Woke” training over combat preparedness.
Our students lag behind their foreign counterparts, despite the fact that the federal, state and local governments spend far more on education than other developed nations. Despite the worrisome shortfall in academic achievement, spending on non-academic issues increases. One example: Breitbart reports that “The Oregon Department of Education (DoE) is set to spend $2 million on a campaign to launch pro ‘LGBTQ2SIA+’ curriculum, teacher training, and ‘pride events.’”
Crime has reached and surpassed urgent crisis levels. Our power grid remains extremely vulnerable to natural and man-made disasters. These issues remain unresolved despite all those tax dollars being spent on other matters.
In a published report by the late George P. Schultz, (a former Treasury Secretary) along with John Cogan and John Taylor published in a Project Syndicate commentary, those three distinguished authors wrote that
“Many in Washington now seem to think that the US federal government can spend a limitless amount of money without any harmful economic consequences. They are wrong. Excessive federal spending is creating grave economic and national-security risks. America’s fiscal recklessness must stop. The COVID-19 crisis has provided the latest impetus for government spending, even to the point of steering the American mindset toward socialism – a doctrine that has always harmed people’s well-being. High and rising US national debt will eventually crowd out private investment, thereby slowing economic growth and job creation. The Federal Reserve’s continued accommodation of deficit spending will inevitably lead to rising inflation. Financial markets will become more prone to turmoil, increasing the chance of another big economic downturn.”
Far too much continues to be spent on “earmarks,” spending programs that do more to help incumbents get re-elected that actually benefit the nation. The 2022 “Pig Book,” published by the Citizens Against Government Waste, exposes 5,138 earmarks, an increase of 1,702.8 percent from the 285 in FY 2021, at a cost of $18.9 billion, an increase of 18.9 percent from the $15.9 billion in earmarks in FY 2021. The cost of the FY 2022 earmarks is 14.5 percent higher than the $16.5 billion in FY 2010.
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