Where’s Ross Perot?

Russ Roberts has a glum article which describes the foolishness of the government’s “bailout” activity. While I agree with him about the particulars, I am far more upbeat. Why?

  • Living beyond our means has been a problem for decades and a major contributor to the turmoil. But people are already adjusting by spending less and saving more. This may prove painful in the near term, but it is the correct action for the long term. No pain, no gain.
  • The bailouts are a waste of money, but in the end, mismanaged companies will fail. They will be replaced by better companies. We’re delaying that result, but we cannot prevent it. This will be good for the economy.
  • Although we’re piling up a huge deficit, it is recognized as a problem and is correctable with spending restraints. This will force the next administration to make spending reduction a higher priority and grand new spending schemes a lower priority. As it has before, deficit reduction will be the big political issue of the future. A relatively smaller government will be a good thing.

It’s unrealistic to expect politicians to “do nothing”. Instead, we should give them something better to do. I think “deficit reduction” will be the ticket. Where’s Ross Perot when you need him?

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One response to this post.

  1. This version eliminates two typos in my previous post. Thanks.

    “Where’s Ross Perot when you need him?” Actually, he’s right where you would expect him to be — talking about the debt and the deficit and the need to get spending under control. He’s just using a different medium this time. Take a few minutes to visit PerotCharts.com and watch the video. Then take a look at the chart presentation immediately below the video. Unfortunately, the story is worse today than it was 16 years ago when Ross first brought these problems to the country’s attention. And we’re running out of time to fix things.

    Editor – PerotCharts.com

    Reply

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