Of Government and Men: Spending and Taxes

There are a few things about government that are painful, unpleasant, noxious, and just can’t be avoided. Two of those are taxes, and government spending. Both cause the tax payers to have less money and both should be done with a lot more caution than seems to happen. There are ways to really harm people with both of these as well. As terrible as taxes and government spending are, they are also a necessary evil.

As a matter of full disclosure, I am almost always for less taxes. I believe the more the government taxes us, the more it cuts into our freedoms. Our current Federal tax code would print out to more than 7500 pages long! For comparison my study Bible weighs in at a little over 2100 pages complete with notes, research, annotations, and scripture. That 7500 pages doesn’t include any state or local taxes you may have to pay which will be covered by their own lengthy rules. I also believe that many things the government spends money on could be better done by the States, the private sector, or even charities. My rule of thumb is that the government only does two things really well: Make war and waste money.

Stepping down from my soap box, there are a few things the government needs funds for, and it is authorized to collect them under our constitution. For example, a strong federal government is the only entity that can protect all 50 states in a time of war. A strong federal government is also the only entity that can manage our federal court system. These aren’t the only examples, but they are two examples of why our government needs to collect taxes. However, the income tax system we use is probably one of the worse tax systems available. It punishes those who work and produce while rewarding those who don’t. The harder you work, the more successful you are, the more the tax system requires you to pay the government. If this was the system of punishments and rewards at your child’s school, you would expect your kid to avoid working and studying because they would get rewarded for doing just that.

I posted a story about Congressman David Crockett a few days ago. This is the David Crockett of fame, who eventually became a Congressman. I think that story illustrates one of the problems with the governments priorities when it spends money. As I mentioned earlier, there are legitimate reasons for the government to tax, and then spend that money it takes through taxes. However, there are a number of things the government spends on that it shouldn’t spend on. If the government is spending money on things that “feel good”, it probably shouldn’t spend that money. Recently, the auto bailouts seemed like a good idea to some. However, in hindsight, what did we get for the money we spent, and is it worth sticking future generations with the bill for bailing out two companies?

This is a topic that could easily fill a book (though not as long as one as the tax code). However I want to leave you with this parting thought: Everything our government does requires money. That money is only obtained by taxing or borrowing. If the government taxes to pay for it, then it is taking money from you, your neighbors, your parents and your grandparents to pay for it. If it borrows, then it is taking money from your children and grandchildren. Shouldn’t the government be a little more careful with how it spends money than what we see in Congress right now?