Testimony by Kent Smetters for the Subcommittee on the Constitution

[BarnacleBob]

Let me describe the current $43.5 trillion shortfall another way. Instead of raising payroll taxes, suppose we eliminate half of the rest of the federal government in 2004 except for Social Security and Medicare. In particular, we eliminate half of the federal government’s spending on the military, homeland security, roads, education, veteran’s affairs, agriculture, labor affairs, NASA, commerce, law enforcement, Medicaid, etc. – everything expect for Social Security and Medicare. And we do this not just in 2004 but forever. Also suppose that we don’t change federal taxes so that people continue to pay taxes as projected. Now, for example, the $150 billion deficit projected for 2004 would turn to a $600 billion surplus! That sounds like a lot of money. But we would still accumulate surpluses too slowly over time. In particular, we would still be left with a fiscal imbalance of about $3.2 trillion. In other words, shutting down half of the rest of government forever is not enough to put the U.S. fiscal policy on a sustainable course.

http://www.house.gov/judiciary/smetters030603.htm

[Libertarian_Guard]

Kent might be on to something here, it sounds like the solution to our financial woes will require nothing less than the elimination ( extermination? ) of our entire Federal Government. What a novel idea! I wonder if we could devise a plan by which the States could handle there own affairs?

You just have to wonder why no one planned for this some 227 years ago. It might have saved an awfull lot of misfortune.