Going broke

In the private economy, voters express their preferences by purchasing products but in government they express their desires by voting. Voting has a few problems in that most people are upset with government but 95% of representatives are reelected. Polls show trust in government has declined from 77% in the 1960’s to 20% today. Why people keep reelecting the same officials is a mystery. The common answer is we like our representative but not others. In the private world when profits go down it means loss of jobs but in government when goals are not met it means more money is needed. In business one way to increase profits is to lower cost but in government there is no measurement of profit so no incentive to lower cost. It is well known that government agencies will spend all the money assigned to them even if it means unnecessary spending. The Washington Post published an article concerning the large amount of office furniture stored in warehouses. At the end of each fiscal year many departments buy new furniture to use up their budget. In many public areas, like schools, the need is always for more money. Businesses go broke everyday but governments small and large never go broke. Local governments raise taxes to cover loses and the fed just prints money.