Thursday, May 26, 2011

 

Political Mayhem Thursday: Cutting Budgets


I think the topic of government budget cutting at both the state and federal level is extremely important right now. Not just the question of whether to cut budgets (we have to, I think), but what should be cut.

This Thursday, I want to challenge my readers to make significant cuts to the federal budget. I've done this before, but want to try a diffeent tack this time. I don't have the technology to create a complex exercise (the NY Times has a good one here, so we are going to work with rough numbers.

Currently, the federal budget breaks down about like this:

20% things we can't do anything about, like debt service.
20% social security
20% defense
20% medicare, medicaid, and SCHIP
20% other discretionary spending (courts, agriculture, education, etc.).

Let's consider the federal budget to consist of 100 dollars, with 20 dollars apportioned to each of these five sectors.

Your job is to cut out ten dollars total. For example, you could take it all from discretionary spending, but that would slice out a full one half of the government programs we are most familiar with. The same goes for the military-- if you yank ten dollars, half the budget is gone, and hundreds of thousands of people may be out of work.

So, what do you do? I will go first.

I would take 5 dollars from defense (a full quarter of their budget!).
I would take 2 dollars from social security and discretionary spending, and one dollar from the medical programs.

Try it-- and remember that this is just a 10% budget cut.

Comments:
Uhm...is my math really abysmal, that it looks like you are only cutting 8%?!
 
I, too, will take $5.00 from the defense budget. Many of these cuts could come from changing military health care (right now, it's free for active-duty, retirees, and dependents. I think a moderate co-pay would alleviate a lot of those problems) and from cutting programs. I'll be one of the first to say that the Department of Defense is too big. We don't need fewer soldiers/sailors/airmen/Marines, but we do have a lot of fat that can be cut.

I'll also take $3.00 from discretionary spending. I'd try to concentrate most of that on the Department of Education and the Department of Homeland Security.

Finally, I'll take $1.00 each from Social Security and medical programs.
 
Anon- sorry if I wasn't clear. I meant $2 each from social security and discretionary spending.
 
I will see your $5 on defense and raise you a dollar, which makes it a 30 percent cut (the figure that is making the rounds right now is a 40 percent cut with no noticeable downside in terms of national security--but, obviously, any cut to defense will mean a big hit to the domestic economy).

plus

$2 on Social Security (means testing).

$1, for starters, on Medicare, etc. (more means testing a la Paul Ryan)

$1 on discretionary

.02 on the big oil tax subsidy. This does not make much of a difference in the big scheme of things, but it takes away a talking point from demagogues who want to distract us from a real crisis. Take it off the table.

Summary:

$6 defense
$2 SS
$1 medicare, etc.
$1 discretionary
.02 big oil/good politics

------------

Total: 10.02
 
Charge a co-pay on wounded vets? No way.

You could cut the defense budget by stopping overseas wars.
 
Anon 12:51

We are cutting defense by 25-30 percent.

But I can see your point: in addition to making disabled vets pay their own way, I also want to push grandma off a cliff in her wheelchair while creating some new tax breaks for Wall Street fat cats and other favored members of the GOP
 
WF-

I think that was a response to Campbell not you. Campbell, btw, is active duty in a war zone.
 
$ 3 Defense
6 Discretionary - DEA, Ed. dept., Homeland Security
1 Medicare - use it to forbid all adds for prescription drugs - that would drop medication costs by a large percentage.

Lee
 
Mark,

I started to realize that the comment was directed at Campbell even as I was composing my reply--but then decdied the response applied anyway. Of course, the reply was too touchy. The kind of thing you regret after you pull the submit trigger.

Mea Culpa. More importantly, I appreciate this serious conversation (second attempt on your part) to tackle a very serious problem. I am frustrated by our two political parties.

The GOP has taken taxes and defense spending off the table. Unrealistic.

The Democrats, on the other hand, are not proposing any thing other than playing jujitsu defense, hoping the GOP will push themselves off a political cliff.

It is a sad state of affairs. Depending on which election (GOP for 2010) and (Dems for 2012) both sides are willing to take disingenuous shots at the opposition and the easy path to short-term gain with blatant disregard for the national welfare.

Frustrated. But that is no excuse for indiscriminately showering invective you guys. My apologies.
 
Is anyone else noticing that GWB's Dept. of Homeland Security isn't very popular?
 
Defense 6
Medicare 1 (Medicaid is for the poor and SCHIP for poor kids- no cutitng there; means testing for wealthier Seniors whose co-pays can go up)
Discretionary- 3.

No cuts to Social Security which would be fine if we stopped borrowing from it.

Healthcare costs must come down.

Also, we should be able to renogotiate our debt which the Chinese hold. Does anyone think spending 40 cents on every dollar to pay the Chinese the vig is sustainable?
 
Part of the problem is that non-discetionary spending, which for the most part means social security and medicare, is weed like.

We can hack off the leaves, or even the stems above ground this year, but the weeds will be back next year... if not in a month.

There needs to be long term reform to both programs.
 
I say $5 off Medicare/Medicaid (physicians have been milking this system for years. If the drug formulary alone (or lack thereof) were adjusted, billions would be saved). I'm also with Campbell on changing the structure of military health care - a very nominal copay is not out of the question, so $2.50 off of Department of Defense geared toward healthcare. $2.50 off of Department of Homeland Security (no healthcare issues there, per se - I just wanted to make a cut).
 
4 from defense
3 from discretionary (oil and farm subsidies come to mind)
2 from Medicare, Medicaid (see NY Times piece on all the tests done on people who should not receive them unless they have a pre-existing disposition to a realted disease).
1 Homeland security.
 
Christine-- Homeland Security is within "discretionary."
 
Perhaps we should cut all expenses afferent to old age and when it's time to retire simply issue a check that will buy an inflatable boat, a ticket to the ocean for those living inland and instructions to sail off into the sunset.
 
IPLawGuy:

I misunderstood the first part of your comment as meaning "like marijuana" rather than "an infestation".

Just saying.
 
I tend to agree with IPLawguy that the key here, at least in the case of the two biggest entitlement programs Social Security and Medicare, isn't just to cut the budget. We have to fundamentally change the way those programs work. Anything short of that and any temporary fix will just be an illusion.

We should however start cutting things. $5 on defense spending. Make a commitment to a smarter, more efficient, more technologically advanced military. Spend less. $5 on non-defense discretionary spending. Eliminate the Department of Education. Stop agriculture subsidies. Simplify the tax code and reduce the size of the IRS by 2/3-3/4. Stop paying UN dues. Any of these will work for me.
 
We pay dues to the UN? Is it like a frat?
 
Micah,
I meant it both ways. The American people are too stoned to realize that the current system has to be ripped out at the roots, not just weed whacked.
 
Anon 12:51 - I didn't say make wounded vets pay a co-pay. I should have been clearer - that's my fault.

I'm talking about the active duty and retired servicemembers who didn't get wounded. I'm talking about servicemembers like me, who (thankfully) have not been wounded in action, be it mentally or physically, due to military service.

Is it a different story with a veteran who was wounded in service to the United States? Yes, and I have no issue with those servicemembers receiving free medical care - it's the "you break it, you buy it" mentality. No gripes there. But look at how many people serve compared to how many are wounded. We'd save a ton of money on military health care by enacting a co-pay of even $5.

Before my wife married me and fell under the military health care system, she had a co-pay, and it was more than $5.00. My parents and sisters are public schoolteachers, and their co-pay is more than $5.00. They all make less than I do as a captain with seven years' service on the pay scale.

The point is, servicemembers in general (again, leaving our wounded warriors out of it) can afford a co-pay. The military gets a lot of leeway because of the missions it performs and because of the situations in which its members must work, but it isn't sacrosanct.
 
Mark ~
ok so add another hash to discretionary spending.

Medicare and Medicaid need serious revamping. Vouchers are definitely not the way to go (especially the older you get) Think of the senior who does not have family to assist them (that will be me someday) needs a Medicare ID card and an electronic record.

The old saying is KISS ~ kept it simple stupid.
 
Post a Comment



<< Home

This page is powered by Blogger. Isn't yours?

#