Saturday, September 15, 2007

Federalism's Implications

Here is an article posted on Fred's website that was written by Chris Edwards of the Cato Institute. I don't think that FDT has mentioned specifics of addressing spending in the way that Reagan did, but I hope this inclusion on the web site is indicative of what he is thinking. Here is a section of the article that reminds me of what a President should be doing:
Here is Mr. Reagan kicking off his run for the presidency on Nov. 13, 1979:

"The federal government should do only those things specifically called for in the Constitution. All others shall remain with the states or the people.... The federal government has taken on functions it was never intended to perform and which it does not perform well. There should be a planned, orderly transfer of such functions to states and communities."

When in office, Mr. Reagan worked to effect that "orderly transfer." He took aim at the massive system of "grants-in-aid" for the states built up in the 1960s. He cut these subsidy programs from 434 in 1980 to 335 by 1985, and to shrink aid spending by 24 percent relative to the economy's size. He also killed "revenue sharing," a no-strings-attached spigot of federal cash for the states.
Not surprisingly, since Reagan left office, that number has gone up to 814 programs. As a local example, the Indiana State Government reports that 33.4% (!!!!) or $15.7 BILLION will come from the Federal Government.

We badly need Fred!

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