Monday, February 24, 2025

DOGE

Most economist agree that the government cannot continue to deficit spend and so what must be done. The current system is not working since each year the debt grows higher. Many in congress object to Trump’s approach of allowing the executive branch to cut spending. They much prefer the old way of allowing congress to cut but history has shown that congress in unable to do that. In the past, when congress has made an effort to cut, those who are directly affected challenge any cuts and congress backs down so nothing is done. Aside from the waste, fraud and abuse what congressman is going to cut expenditures in his district. One solution has been suggested that Trump make the cuts and then refer them to congress for approval. Trump can do his part but congress will submit to the same old pressures and nothing will be done. Here is what happened when congress tried. The Gramm-Rudman-Hollings Act of 1985, also known as the Balanced Budget and Emergency Deficit Control Act, was a law that aimed to reduce federal debt and deficits. The law established automatic spending cuts and deficit targets So what happened. Congress enacted a reworked version of the law in the 1987 Act. Gramm–Rudman failed, however, to prevent large budget deficits. The Budget Enforcement Act of 1990 supplanted the fixed deficit targets, which replaced sequestration with a PAYGO system, which was in effect until 2002. What happened to PAYGO. The policy was discarded during the Bush Administration in 2002, which led to an increase in the budget deficit due to unrestricted spending and tax cuts. Congress cannot control their own spending. They need spending to get reelected.

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