What Should We Cut?

Discussion in 'Economy' started by Turboswede, Oct 22, 2008.

  1. Turboswede
    Offline

    Turboswede Very Metal

    Joined:
    Oct 16, 2008
    Messages:
    487
    Thanks Received:
    58
    Trophy Points:
    28
    Location:
    The Emerald City (Seattle), USA
    Ratings:
    +58
    So, here is a little exercise for all of you out there that think we can balance the federal budget through spending cuts and can avoid tax increases. I pulled these figures from Wikipedia for the 2008 Federal Budget:

    $608 billion - Social Security
    $386 billion - Medicare
    $209 billion - Medicaid and the State Children's Health Insurance Program (SCHIP)
    $324 billion - Unemployment/Welfare/Other mandatory spending
    $261 billion - Interest on National Debt
    $481.4 billion- United States Department of Defense
    $145.2 billion- Global War on Terror
    $69.3 billion - Health and Human Services
    $56.0 billion - United States Department of Education
    $39.4 billion - United States Department of Veterans Affairs
    $35.2 billion - US Department of Housing and Urban Development
    $35.0 billion - State and Other International Programs
    $34.3 billion - Department of Homeland Security
    $24.3 billion - Energy
    $20.2 billion - Department of Justice
    $20.2 billion - Department of Agriculture
    $17.3 billion - National Aeronautics and Space Administration
    $12.1 billion - Department of Transportation
    $12.1 billion - Department of Treasury
    $10.6 billion - United States Department of the Interior
    $10.6 billion - United States Department of Labor

    For FY 2008 our estimated deficit will be $455 billion and our current national debt is $10.2 Trillion.

    Easy question, what do you cut from the above to get $455 billion?

    Weird to think this problem didn’t exist under Clinton, I thought the Republicans were supposed to be the fiscal conservatives.
     
  2. dilloduck
    Offline

    dilloduck Diamond Member

    Joined:
    May 8, 2004
    Messages:
    53,240
    Thanks Received:
    5,552
    Trophy Points:
    1,850
    Location:
    Austin, TX
    Ratings:
    +6,403
    Just couldn't resist politicizing it, could ya ?
     
  3. Jon
    Offline

    Jon The CPA

    Joined:
    Mar 20, 2008
    Messages:
    8,101
    Thanks Received:
    1,276
    Trophy Points:
    48
    Location:
    Fayetteville, AR
    Ratings:
    +1,281
    I don't know what that brings my budget to, but there you have it.

    Oh, and we can't really cut interest on the National Debt.
     
  4. Zoomie1980
    Offline

    Zoomie1980 Senior Member

    Joined:
    Jan 16, 2008
    Messages:
    1,658
    Thanks Received:
    128
    Trophy Points:
    48
    Ratings:
    +128
    The top three are funded through completely separate mechanisms than the rest so take them off the table and deal with them in contexts of their own funding system. All I can say about them is do not allow borrowing from their funds.

    Now the rest. I would eliminate the depts of education, labor, and health and human services, and housing and urban development entirely. they are all completely useless. that's 170b right there. Roll in energy, transportation, commerce, USDA into a single agency. another 50B or more in savings.

    My main focus then would be on Defense. They main problem in defense is the procurement process. Eliminate all Congressional micromanagement of defense. They merely approve a flat dollar amount for each service and have no say over what weapon systems get developed, dropped, or expanded, or what companies get the contracts. The Generals then decide what to spend the money on. After that, force system requirements to made only ONCE. Once program requirements are made, they are in stone for the life of the project. That eliminates the problem of every new general that comes along in the life of a project completely overhauling system requirements to "put their own stamp" on them. and finally the bidded amount of the original contract is all the contractor EVER gets for the project no matter what. Guessing that could save upwards 1/3rd of defense spending.

    The remaining deficit would be taken care of when the economy improves and revenues increase. Once balanced we pass a balanced budget amendment and give the President line item veto. Also all earmarks would be illegal.
     
  5. Epsilon Delta
    Offline

    Epsilon Delta Jedi Master

    Joined:
    Jul 16, 2008
    Messages:
    2,687
    Thanks Received:
    363
    Trophy Points:
    48
    Location:
    Central America
    Ratings:
    +364
    $481.4 billion- United States Department of Defense
    $145.2 billion- Global War on Terror
    $34.3 billion - Department of Homeland Security

    There's your $200 billion dollar surplus.
     
  6. Jon
    Offline

    Jon The CPA

    Joined:
    Mar 20, 2008
    Messages:
    8,101
    Thanks Received:
    1,276
    Trophy Points:
    48
    Location:
    Fayetteville, AR
    Ratings:
    +1,281
    Yeah, that surplus will be nice when we're all obliterated.
     
  7. jreeves
    Offline

    jreeves Senior Member

    Joined:
    Feb 12, 2008
    Messages:
    6,588
    Thanks Received:
    315
    Trophy Points:
    48
    Ratings:
    +315
    Yeah if we completely drop our defense budget, get ready to learn how to speak Russian......

    For godsake, there is waste in almost all sectors of the federal government.
     
    • Thank You! Thank You! x 1
  8. Jon
    Offline

    Jon The CPA

    Joined:
    Mar 20, 2008
    Messages:
    8,101
    Thanks Received:
    1,276
    Trophy Points:
    48
    Location:
    Fayetteville, AR
    Ratings:
    +1,281
    At least we know what to spend the budget on.
     
  9. AVG-JOE
    Offline

    AVG-JOE American Mutt Staff Member Gold Supporting Member

    Joined:
    Mar 23, 2008
    Messages:
    22,888
    Thanks Received:
    4,882
    Trophy Points:
    260
    Location:
    Your Imagination
    Ratings:
    +7,017
    Anyone know what the operating budget of the IRS is? Seems pretty stupid and expensive to be collecting taxes on the consumer level.

    One more reason to consider a national sales tax collected on the retail or wholesale level - 80% reduction in the administrative cost of collecting.

    -Joe
     
  10. PeterS
    Offline

    PeterS Active Member

    Joined:
    Sep 7, 2008
    Messages:
    973
    Thanks Received:
    71
    Trophy Points:
    28
    Ratings:
    +71
    If you intend to pay your military I would reconsider eliminating the treasury department.
     

Share This Page