You Make a Difference! Our mission and operations are funded entirely by Patriots like you! Please support the 2024 Year-End Campaign now.

July 7, 2021

The Costs of Biden’s Big Government

The average percent of the economy that government will take over the next 10 years, per Biden’s budget, is 24.5%.

It is one of the unfortunate ironies coming out of the Biden administration that, with all the obsession about so-called equity, policies they are putting forth will only hurt the very low-income Americans they pretend to want to help.

The Biden administration is growing government at a record pace.

If what they want is opportunity for every American, government policy should aim to encourage economic growth. Bigger, more intrusive government achieves the opposite. It stifles economic growth.

The Biden administration submitted its first 10-year budget to Congress last month.

The budget projects average annual economic growth for 2023 through 2031, after they’re done with all the stimulus spending in 2021-22, of 1.9%.

What does 1.9% growth mean?

Economist John Cochrane, of Stanford University’s Hoover Institution, notes that from 1950 to 2000, the U.S. economy grew at 3.5% per year. Average real income over that period grew from $16,000 per person to $50,000.

Suppose instead of 3.5%, growth over that period of time was 2%, asks Cochrane.

With average growth of 2% instead of 3.5%, a $16,000 income would have grown over the 50 years to $23,000 rather than $50,000.

In recent years, since 2000, average growth has been more sclerotic, in the range of 2%.

What’s the problem? Too much growth of government, says Cochrane.

There are different indices that measure government intrusiveness. Cochrane points to the Doing Business report from the World Bank, which measures the difficulty in starting and running a business.

Other more general measures of economic freedom — one from the Fraser Institute in Vancouver, Canada, another from the Heritage Foundation in Washington, D.C. — look at size of government, regulation and taxation.

They all point in the same direction. More government means lower incomes and slower growth.

Per Glenn Hubbard, who headed the Council of Economic Advisers under President George W. Bush, the average percent of the U.S. economy that government was taking in those 50 years after World War II, when growth was averaging 3.5%, was around 20%.

The average percent of the economy that government will take over the next 10 years, per Biden’s budget, is 24.5%. At least Biden’s economists are being honest to project anemic economic growth that will accompany this huge growth in government.

One of the major spending initiatives in Biden’s plans is what they are calling the American Families Plan, with a price tag of $1.8 trillion.

At a time when we have historic drops in our fertility rates and marriage rates, somehow the Biden administration thinks, contrary to experience, massive new government spending and entitlement programs will be a boost to the American family.

Hoover Institution’s John Cogan and Daniel Heil call this massive expansion of government entitlements “the largest expansion since Lyndon B. Johnson’s Great Society.”

“For the first time in U.S. history,” they note, “except possibly for the pandemic years 2020 and 2021, for which we don’t yet have data — more than half of working-age households would be on the entitlement rolls.”

With all our division and disagreements today, there is no disagreement about the shame that the vile institution of slavery was once present and legal in America. We all agree it is a blot.

We all also agree that racism is deplorable.

But the reason slavery and racism are terrible things is that every human being must live with dignity and in freedom.

How can we arrive to the conclusion that the remedy and antidote to slavery and racism is putting all Americans on the government plantation?

Not only is it immoral, but it doesn’t work. Government is supposed to be about protecting, not confiscating, our life, liberty and property.

If we want every child in America, of every background, to realize his or her potential, let’s strive for their dignity by making sure they grow up in a free country.

COPYRIGHT 2021 CREATORS.COM

Who We Are

The Patriot Post is a highly acclaimed weekday digest of news analysis, policy and opinion written from the heartland — as opposed to the MSM’s ubiquitous Beltway echo chambers — for grassroots leaders nationwide. More

What We Offer

On the Web

We provide solid conservative perspective on the most important issues, including analysis, opinion columns, headline summaries, memes, cartoons and much more.

Via Email

Choose our full-length Digest or our quick-reading Snapshot for a summary of important news. We also offer Cartoons & Memes on Monday and Alexander’s column on Wednesday.

Our Mission

The Patriot Post is steadfast in our mission to extend the endowment of Liberty to the next generation by advocating for individual rights and responsibilities, supporting the restoration of constitutional limits on government and the judiciary, and promoting free enterprise, national defense and traditional American values. We are a rock-solid conservative touchstone for the expanding ranks of grassroots Americans Patriots from all walks of life. Our mission and operation budgets are not financed by any political or special interest groups, and to protect our editorial integrity, we accept no advertising. We are sustained solely by you. Please support The Patriot Fund today!


The Patriot Post and Patriot Foundation Trust, in keeping with our Military Mission of Service to our uniformed service members and veterans, are proud to support and promote the National Medal of Honor Heritage Center, the Congressional Medal of Honor Society, both the Honoring the Sacrifice and Warrior Freedom Service Dogs aiding wounded veterans, the Tunnel to Towers Foundation, the National Veterans Entrepreneurship Program, the Folds of Honor outreach, and Officer Christian Fellowship, the Air University Foundation, and Naval War College Foundation, and the Naval Aviation Museum Foundation. "Greater love has no one than this, to lay down one's life for his friends." (John 15:13)

★ PUBLIUS ★

“Our cause is noble; it is the cause of mankind!” —George Washington

Please join us in prayer for our nation — that righteous leaders would rise and prevail and we would be united as Americans. Pray also for the protection of our Military Patriots, Veterans, First Responders, and their families. Please lift up your Patriot team and our mission to support and defend our Republic's Founding Principle of Liberty, that the fires of freedom would be ignited in the hearts and minds of our countrymen.

The Patriot Post is protected speech, as enumerated in the First Amendment and enforced by the Second Amendment of the Constitution of the United States of America, in accordance with the endowed and unalienable Rights of All Mankind.

Copyright © 2024 The Patriot Post. All Rights Reserved.

The Patriot Post does not support Internet Explorer. We recommend installing the latest version of Microsoft Edge, Mozilla Firefox, or Google Chrome.