Does This Make Any Sense?

Remember a time when government workers got excellent benefits because they were paid less than those in the private sector? Government work at least meant job security. The 10/9/15 IBD reports on a wage comparison of earnings between federal government and private sector workers, based on a study by Chris Edwards of the Cato Institute.

According to the study, government workers average $84,153 per year. The private sector employees average $56,350 per year. Add in employee benefits and the results are truly shocking: $119,934 for government employees versus $67,246 for private employees. If you have ever dealt with a federal agency my bet would be that you do not believe those workers are worth 78% more than workers in the private sector.

This study by the Cato Institute is a perfect example of what is wrong with public employee unions. The unions spend large sums to back candidates who support their never-ending pay and benefit increases, and attack those who do not. Congressional members give in with taxpayer money (your money and my money) in order to protect their seats.

So, while private employers during this recession had to cut payroll, and even entire departments, the Feds were adding employees and increasing salaries. What a system.

Rand Paul has a solution. It is a solution that a more liberal friend and I have discussed and agreed on previously: zero-based budgeting. Far too frequently our government is faced with having to raise the debt limit. A large part of the problem is that each new budget assumes whatever was spent by each federal agency the prior year is the floor from which they begin to argue for more money.

With zero-based budgeting, each department of government would have to justify their very existence, and how much money they should get. If this is too big a task for yearly review, then make it a two year budget. But do it. It is the only approach that has the ability to shrink the size of the federal bureaucracy. All other efforts have only slowed the rate of growth of the federal government. The benefits are manifold. Less need for taking taxpayer money. Less competition for money between government and the private sector. And, of course, a lesser ability of government to try to control ever increasing aspects of our lives.

The lobbying pressure on Congress would be enormous. But at least the public would get to see who cares about their money and who does not; and what agencies are so important that government chooses to fund them over letting people keep their hard-earned money. Which brings up another topic.

Donald Trump has unveiled a tax plan that will allow 50% of Americans to not pay taxes. Bobby Jindal has a plan in which all Americans pay taxes. It is often said that about 46%-47% of Americans already do not pay taxes. The rebuttal is that many do still pay payroll taxes (Social Security and Medicare). While that money is not put into any special "trust fund," it is paid with the expectation of getting it back at retirement age. Federal income tax is what funds day to day government operations, and yes, I believe everyone should contribute to that.

Which brings me to my final topic: Bernie Sanders. The self-professed Democratic-Socialist wants to see an ever-expanding government. Government paid healthcare, government paid child-care and preschool, and "free" tuition at public colleges, among other things. Then there are the mandates he wants to place on employers - $15 minimum wage, mandatory medical leave, sick leave and vacation pay. (Per 9/16/15 IBD.) He is also a friend of unions. Who will pay for all of this? Get ready for a lower standard of living. Greece anyone?

You have to love how the mainstream media consistently portray the Republican party as a bunch of extremists when they stand up for what were always considered to be traditional American values. But now that the Democrat party is supporting an avowed Socialist in large numbers? Not a peep about that real sea change.