Economic Growth Simplified

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Economic Growth Simplified

In the world of governmental bureaucracies that provide “SERVICES”, I have consistently found their agenda was to make things as complicate as possible so citizens feel they have no alternative but to use their help or hire someone to deal with what that bureaucracy requires. Their other agenda seems to be one of always addressing the symptom, never the problem because the bureaucracy would be out of business if the problem was solved.

The model of making people feel dependent is being exploited now, more than ever, by putting additional regulations and licensing requirements on those providing these services with their mantra seeming to be one of only addressing the symptoms.

Services that give guidance and advice on matters like bookkeeping, tax preparation, legal services, investment management, medicine, therapy and many government services dealing with environmental issues are becoming more expense to use with less than ideal results, all requiring permission from the government to provide them. It seems the government’s agenda is to have citizens be as depended and helpless as possible with their desire to leave no choice but to force us to use them.

Now in this age of technology there are search engines that gather all the information in the world, making it available to all of us when the question is properly stated regarding any problem needing to be solved. This is powerful and threatening to government bureaucracies who are supposed to be there to give us those answers, justifying their tax payer provided salaries.

Granted, theses people all have boat payments to make, but when their results are inferior compared to the free information on line from Siri, Google, or the Watson Computer, their days are numbered. The concern of having citizens become fiercely independent is very threatening to a liberal, socialistic government. Self sufficiency is a trait that is common in the conservative cause and explains the civil unrest against any attempt to lessen government involvement in any program. The purpose for their existence is threatened and they need more victims to survive.

I always find it amusing when government economists and the congressional accounting office scores any bill to see if it is going have an impact on the budget or the debt. To require a third party to tell congressmen how legislation will affect the budget is laughable. It is simple and if they had any business experience they would understand the difference between investing and spending tax dollars.

Taxes are never spent. They are always invested in those things that will reduce future expense when done in a timely manner. Jobs are never created, they are a result of solving problems that cost money if not addressed with the pay always less than the cost of the problem. Economies grow in only two ways: One by an increase in population and/or an increase in discretionary spending by the population. Taxes must be used to increase desirable spending and investing and not penalize success and hard work.

The government must live on what the supply side of taxes and not demand more taxes from the citizens to buy more votes through gift projects.

These principles are fundamental and seem to be completely ignored or forgotten by congress with the result being a larger debt with little or nothing to show for the increase.

This is Keith Kube wishing you the best in making the world a better place.

Keith Kube, of Crofton, is a business analyst and author of two books on business management. During his career as an engineer, investment banker and business analyst he identified traits commonly overlook that are vital for all successful business operations. You can hear all his past editorials or review his books by going to his website: www.keithkube.com