Discuss Question 2

2. FISCAL KNOWLEDGE: The size of the federal government is best measured by the amount of total federal taxes.

ANSWER: False – Measuring the size of the federal government is best done by accounting for how much the federal government spends, not how much it collects in revenue, including taxes. Because in recent years the federal government has consistently brought in less revenue than it spends, calculating the size of government by revenue significantly understates the size of government. According to the non-partisan Congressional Budget Office, in fiscal year 2011, based on spending levels, the size of the federal government was about 24% of the economy (GDP).

 

6 Responses to “Discuss Question 2”

  1. Ginny Culp says:

    I felt like these questions were written to be leading and rebelled on some questions against that. I feel that there are many routes to the solution and the starting place ought to be where most of the money has flowed in the past 20-30 years. To start with the people who haven’t benefited from all this indebtedness to the same level is a dishonest and unfair solution. And I feel like you are guiding the survey taker to buy into this “we all have to share in the solution”….true, but not equally because we all haven’t benefited equally.

  2. Dennis says:

    The question as posed – implies a discussion about the tax digest. You’ve provided the incorrect answer. The tax digest is outrageous and indicates a huge federal government. We the people, don’t want it and don’t no thinking American needs it.

  3. anon says:

    I’m sorry, measuring the size of the federal government must include
    unfunded mandates. While spending is a simple measure, the relative intrusiveness of Treasury, DHS, mandated regs are also a measure.

  4. Hank says:

    I disagree with the way you present answers. It would seem that you wish to see answers that indicate tax increases are needed to solve the problems. Stopping massive spending, and ending payouts to people who have never paid into social security would for all practical purposes be a revenue increase. The questions were very leading to me, therefore defeating the intent of the test.

  5. TL says:

    Throughout the entire survey it would seem you are indicating the only solutions are tax increases – it will not work. In fact, the tax system needs to be made fair – everyone pays their share. Stop some of these deductions that only shift the burden to someone else; regulating what and how the money is spent is critical to recovery. Tax increases will only be used to spend more. Washington is out of control and has taken liberties with thier authority that was never given them.

  6. BSRS says:

    I over read the question thinking the unfunded liability was a form of taxation. In your question the taxation and unfunded liabilities were separated components therefore the actual size would be larger based on spending. Washington State is currently facing a budget short fall. A gimmick that is being employed is “One Day Delay”. The reality of this one day delay is additional debt issuance without voter approval. The legislature will effectively request a structured default on it’s current debt obligations and not pay the interest for one bi-annual cycle plus one day, pushing the payment into the next budget cycle. They have done this and have already hurt my children by raiding the children’s GET Guaranteed Education Tuition trust fund by short changing the trust of $254 Million in interest payments 2010. This adds to the size of government expenditure in the next bi-annual cycle. Now the new cycle begin and they still do not have the funding therefore there is an additional $330 million shortfall. You are correct, the actual size of government is not the tax revenue it the spending plus unfunded debt. The legislature raided the GET for unfunded healthcare benefits for retired government workers (no funding source).

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