Sunday, November 23, 2008
I am not the sharpest person in the world, but I know that if my patient is very anemic I can't get him better by taking blood from the right arm and transfusing it into the left. This is why I dont understand this new "job creation plan" that hit the news today. As near as I can figure out, money to the federal government comes from taxes. These are the various income taxes, corporate taxes and tarrifs. Taxes that come from the private sector are what fund the government because government jobs cant fund the government. This is because the government pays the federal employee with tax dollars that it then recollects a smaller portion in the form of income tax. This is like transfusing yourself but letting most of the blood fall on the floor. The more government jobs you create the more money you lose and the more money the government needs in the form of tax dollars from the private sector. This causes the private sector to sink and recess as it has to pay more and more to the Federal Government. The report today stated that the new administration is expecting to create 2.5 million jobs in developing new infrastructure, schools and other government funded areas. This isn't an auto-transfusion, its a hemorrhage.