This week’s editorial commentary in Barron’s deserves notice, if for no other reason than its pulled quote: “There is no such thing as a failed government program. There are only programs that have failed to spend enough money.”
Author James Bovard doesn’t share that sentiment, but he attributes it to most of those in charge in the nation’s capital. “Washington seems inherently unable to recognize the true threat to Americans’ future posed by government spending.”‘
It was a common saying in the countryside in the 1930s that “we cannot squander our way to prosperity.” But in the capital city it was and is unimaginable that the government could be dragging down the national economy. The evidence if the benefit of government spending could not be more obvious to Washingtonians: the booming local economy, the lofty real-estate values, the ample opportunities for those with college degreees and a willingness to spend their lives writing unread briefs, memos, and reports.
Further back in history, President Grover Cleveland declared in 1893 that “the waste of public money is a crime against the citizen.” But today’s Washington experts take a different view of floundering programs: They can be redeemed with a few more years of trial and more billions of dollars. …
… The government is unable to recognize federal failures in part because the political concept of waste is diametrically opposed to the economic concept. In economics, if a company produces something that people will pay for, it can thrive. In politics, if a program provides something people won’t pay for, it garners votes, campaign contributions, or power. The more money a program spends, the more gratitude its beneficiaries show to politicians. The beneficiaries of wasteful programs are often the most grateful.
