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Deficit problem or overspending problem?

Small Government News*

Wednesday, March 2, 2005

The official newsletter of the Committee for Small Government, Sponsor of Massachusetts 2002 Ballot Question 1 to End the Income Tax http://www.SmallGovernmentAct.org

“small government is beautiful*”

 - Carla Howell

Publisher: Carla Howell

Editor: Michael Cloud

“God grant me the serenity to accept the things I cannot change, courage to change the things I can, and the wisdom to know the difference.”

 - Reinhold Niebuhr

“Most men spend their lives in futile rebellion against things they cannot change, in passive resignation to things they can, and never attempt to learn the difference.”

 - Ayn Rand

“We must stand firm between two kinds of madness: the belief that we can do anything; and the belief that we can do nothing.”

 - Alain de Botton

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     IN THIS ISSUE ======================================================================

 - “Deficit” or “Overspending”: the Difference One Word Makes

   by Michael Cloud

 - Parable of a Checking Account by Michael Cloud

 - Federal Government Debt: Clinton VS. Bush

 - “Would YOU like your family, friends, and co-workers

   to ask you to tell them more about libertarianism,

   listen to every word you say, and change their minds?”

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     “DEFICIT” OR “OVERSPENDING”: THE DIFFERENCE ONE WORD MAKES

     by Michael Cloud ======================================================================

Does the Federal Government have a Deficit Problem or an Overspending Problem?

Your answer to this question makes a profound difference in how you think about, talk about, and deal with government revenue and expenditures.

Almost all politicians, news outlets, and political commentators agree that it’s a deficit problem.

Here are the words and phrases they use to describe the gap between government income and spending: “deficit,” “budget deficit,” “expanding budget deficit,” “face a large deficit,” “solve the deficit problem,” “bridge the deficit gap,” “close the deficit,” “cut the deficit,” “projected deficits,” “deficit reduction,” “running a deficit,” and even “deficits as far as the eye can see.”

“What can we do about the federal deficit?” they ask.

*** The Deficit Assumptions ***

“Deficit” is defined as “the amount by which a sum of money falls short of the required amount.” It indicates a lack, a shortage, or deficiency. Not enough money.

“Deficit” rests on the premise that the proposed budget is the standard of judgment.

“Deficit” means that proposed government spending is right, but income is too low.

“Deficit” assumes and takes for granted that the proposed government budget is necessary, and that we have a tax shortfall.

“Deficit” implies that we are under-taxed. That perhaps taxpayers are stingy, selfish – and not paying their fair share.

*** The Overspending Assumptions ***

“Overspending” is defined as “spending in excess of one’s income.” It indicates unwarranted, unnecessary, or too much spending.

“Overspending” rests on the premise that income is the standard of judgment.

“Overspending” means that government is trying to live beyond its means.

“Overspending” assumes and takes for granted that government has a spending problem, not an income problem.

“Overspending” implies that the elected officials are irresponsible, reckless, extravagant money wasters.

*** Deficit VS Overspending Questions ***

“If they can get you asking the wrong questions, they don’t have to worry about the answers,” wrote Thomas Pynchon.

But what if we can get Americans asking the right questions?

Compare deficit questions to overspending questions.

“How do we solve the federal deficit problem?” VS

“How do we solve the federal overspending problem?”

“What should we do about this year’s federal deficit?” VS

“What should we do about this year’s federal overspending?”

“How can we resolve the budget shortfall?” VS

“Where should we cut back the government overspending?”

“How can we make up the $XXX Billion revenue deficiency?” VS

“Where can we best reduce and remove these $XXX Billions in overspending?”

*** How to Shift the Language from “Deficit” to “Overspending” ***

CONVERSATIONS. Pretend you’re in a political conversation with someone. She brings up this year’s federal “deficit”. Just say, “Before we get too far into this conversation, can we get clear on the difference between government ‘deficits’ and government ‘overspending’?”

Most people will ask: “What’s the difference?”

Tell her the Deficit Assumptions and Overspending Assumptions. Then ask, “Which word best describes the way you think we should think about, talk about, and deal with government revenue and expenditures – ‘deficit’ or ‘overspending’?”

Many people will stop and think about it. Some will ask questions. Some won’t. Some will be receptive. Some won’t.

You can use the “overspending” questions above with receptive listeners. Have a lively discussion!

You can also ask them whether they want you to email them more information. If they say “yes”, get their email address and send it to us. We’ll send them Small Government News*.

Whether your conversation is short or long, you’ve just planted these new questions in your listener’s mind. And if we can get people asking the right questions, we don’t have to worry about the answers.

That’s all it takes to set the process in motion.

TALK RADIO. Call in and make the same distinctions between “deficit” and “overspending”. Ask the same questions. Your short phone call may plant these questions in hundreds and hundreds of fertile minds.

EMAIL. Why not forward this issue of Small Government News* to a dozen of your friends – with an introductory note from you? Tell them how you felt when you read it. And ask them to take 3 minutes and read it.

*** Why One Word Can Make a Difference ***

As long as the word “deficit” dominates and monopolizes the way that Americans think about and talk about government budgets, Big Government will keep growing.

But once we introduce the distinction between “deficit” and “overspending,” Americans have a choice in how they think about, talk about, and deal with government revenue and expenditures.

As more and more Americans think about, talk about, and act on the basis of the “overspending” distinction, more of us will choose to reduce government spending.

And that’s one important step toward small government.

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     PARABLE OF A CHECKING ACCOUNT

     by Michael Cloud ======================================================================

A married couple had a joint checking account. One month, they deposited every dollar of their take home pay in the account.

Every few days they wrote checks to pay their bills. By the last week of the month, they had spent every dollar in the account.

But they had things to buy and new bills to pay. So they kept writing checks on the empty account.

And they bounced a number of checks.

How would you describe their problem?

Were they overdrawn?

Or were they under-deposited?

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     FEDERAL GOVERNMENT DEBT: CLINTON VS. BUSH ======================================================================

When Democrat Bill Clinton was sworn in as President of the United States, the Federal Debt was $4.2 Trillion. When he left office, it was $5.7 Trillion. President Clinton and Congress increased the Federal Debt $1.5 Trillion in 8 years.

When Republican George Bush was sworn in as President of the United States, the Federal Debt was $5.7 Trillion. Today, it is $7.7 Trillion. President Bush and Congress increased the Federal Debt $2 Trillion in 4 years.

Every single year, from 1993 to today, Republicans and Democrats in Congress both voted to increase the Federal Debt. They grew it from $4.2 Trillion to $7.7 Trillion.

Democrats and Republicans in Congress – a Bi-Partisan Coalition for Big Government - voted for this federal overspending, federal borrowing, and increasing the Federal Debt to $7.7 Trillion.

Source: U.S. Department of the Treasury, Bureau of the Debt

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     WOULD YOU LIKE YOUR FAMILY, FRIENDS, AND CO-WORKERS

     TO ASK YOU TO TELL THEM MORE ABOUT LIBERTARIANISM,

     LISTEN TO EVERY WORD YOU SAY, AND CHANGE THEIR MINDS? ======================================================================

FREE INFORMATION about Secrets of Libertarian Persuasion

Just click:  http://www.theadvocates.org/secrets.html

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PLEASE FORWARD THIS ISSUE of Small Government News* to someone you know who wants to know the truth about government spending. Someone who's concerned about taxes and Big Government.

Please ask them to subscribe to this newsletter for a pro-freedom, small government perspective.

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2005 Copyright Carla Howell and Michael Cloud

* "small government is possible", "small government is beautiful", and "Small Government News" are Service Marks (SM) of Carla Howell and Michael Cloud. "Personal Responsibility Sets Us Free" is a Service Mark of Michael Cloud.

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