The fatal flaw in the Democrats' view of the future.

Posted on: September 12, 2019 at 22:29:09 CT

First a fact, total "government debt" in this country (all levels of government and including entitlement programs as well as bond, etc. debt) was recently estimated by AB Bernstein as 2,000% of GNP.

Second, this "government debt" is going to grow, i.e. various groups will have needs and they will look to the government to meet those needs, i.e. extension of government provided health care, government funded retirement programs, less costly or free education, etc., fighting climate change, etc. I personally expect to see the demand for more and more government expenditure to continuously increase for the foreseeable future.

Third, it is the private sector generates the income, the wealth and the revenue to pay these sums (if they are paid). Consequently, if you want government to do more and more, it is imperative that you keep the private sector strong and functioning.

In a sense the private sector is very much like a horse running in handicap races. As you put more and more weight on the horse (increase the amounts taken from the private sector to provide the various government programs), the horse slows down, i.e. the private sector becomes less efficient and doesn't continue to produce increased wealth and resources at a level sufficient to keep up with government's demand for resources.

It seems to me from here in the Arizona Desert that the Dems either don'r recognize this simple truth or don't appreciate its significance and aren't willing to admit that if they don't keep the private sector strong it won't produce the resources to allow them to do all they want to do. And ultimately, that will cause them and very possibly this nation to fail.

I can live with the Dems increased government expenditures if, I repeat if, they also keep the private sector strong and functioning. If they don't, . . ..