Here’s a letter to the Washington Post:
Fareed Zakaria writes that “The basic problem in the U.S. economy is that for a generation now, we have been consuming more and saving and investing less” (“Procrastination economics ,” Dec. 13).
Who’s “we”? I haven’t consumed more than I’ve earned. But being an American, I get confusingly lumped in with a group of people who do spend wildly: a majority of elected U.S. government officials. They spend wildly because they spend other people’s money.
Suppose local mafia goons, confident in their on-going ability to extract wealth from shop owners and residents in their neighborhood, borrow without hesitation to finance their and their pals’ lavish lifestyles. Would anyone issue a blanket condemnation of the neighborhood, accusing its denizens of profligacy?
The fact that the mafiosos who “protect” us win their positions through elections – meaning, they buy their offices with other people’s money – does not alter the fact that A is not irresponsible just because B borrows from C in order to give to D, with the bill for repayment handed in the future to A and to A Jr.
Donald J. Boudreaux