March 24, 2015

Government Waste Larger Than America’s Largest Company

Getting an earned-income tax credit? Let’s hope that the government didn’t make a mistake. According to The Wall Street Journal, almost 30% of the money the government pays out in the program is made in error. In 2014, it was one of the largest money sucks that contributed to the $124.7 billion labeled “improper payments” by the Government Accountability Office – a huge government waste. WSJ writes, “The White House budget office estimates improper payments differently than GAO and claims overall error rates have steadily improved since spiking to 5.42% in 2009 from 2.81% in 2007 amid the hurly burly of the stimulus. Still, we are instructed to accept – and even expand – a tax credit that allots 27% of its dollars illegitimately as well as a government capable of losing an extra $19 billion in a single year. For a sense of the scale, Apple posted earnings of $18.04 billion in the first quarter of this year, which set the highest profits record of any company in history.” Apple is the nation’s largest company. It just demonstrates the breathtakingly bad management that comes with large government. More…

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