Barney Frank: "Our problem is too little government"
If we as a society are in a bad position, a position that requires change from the status quo, it's an interesting thesis that the problem is too little government spending. Presumably Frank means nondefense spending. Over the past 50 years, total annual nondefense spending by the federal government has increased every single year. (In the years before that it sometimes increased and sometimes decreased.)
This increase over the past 50 years in nondefense spending (see year by year totals below) has far outstripped inflation and population growth. In nominal dollars, the estimate for the year 2007 will be nondefense spending of 100 times the 1954 level. Inflation from 1954 to 2004 has been 688.48 percent (that is, $100 in 1954 bought what $688.48 buys today -- see data.bls.gov and type $100 into top box and then select 1954 as the start date). Nondefense spending during that same period has increased by roughly 85 times.
Seems like spending a lot more on social programs has already been tried. The taxes required to support those programs create a significant drag on the economy. I fail to see the basis for the argument that an 85-fold increase in social spending, or a 14-fold increase even after you adjust for inflation, is not enough.
Total nondefense spending by U.S. federal government -- past 50 years:
w3.access.gpo.gov (Cells 14P through 14BS)
1954: $21,589,000,000
1955: $25,715,000,000
1956: $28,117,000,000
1957: $31,148,000,000
1958: $35,590,000,000
1959: $43,083,000,000
1960: $44,061,000,000
1961: $48,122,000,000
1962: $54,477,000,000
1963: $57,915,000,000
1964: $63,771,000,000
1965: $67,608,000,000
1966: $76,421,000,000
1967: $86,047,000,000
1968: $96,208,000,000
1969: $101,143,000,000
1970: $113,958,000,000
1971: $131,300,000,000
1972: $151,507,000,000
1973: $169,026,000,000
1974: $190,012,000,000
1975: $245,824,000,000
1976: $282,173,000,000
Transitional quarter for shift in fiscal year 1977: $73,707,000,000
1977: $311,977,000,000
1978: $354,251,000,000
1979: $387,686,000,000
1980: $456,946,000,000
1981: $520,728,000,000
1982: $560,434,000,000
1983: $598,462,000,000
1984: $624,440,000,000
1985: $693,648,000,000
1986: $717,054,000,000
1987: $722,083,000,000
1988: $774,094,000,000
1989: $840,087,000,000
1990: $953,834,000,000
1991: $1,051,077,000,000
1992: $1,083,305,000,000
1993: $1,118,403,000,000
1994: $1,180,235,000,000
1995: $1,243,736,000,000
1996: $1,294,782,000,000
1997: $1,330,745,000,000
1998: $1,384,129,000,000
1999: $1,427,018,000,000
2000: $1,494,278,000,000
2001: $1,558,395,000,000
2002: $1,662,420,000,000
2003: $1,764,091,000,000
2004: $1,839,006,000,000
2005: $1,933,307,000,000
2006: $2,040,471,000,000
2007: $2,139,766,000,000
2008: $2,249,971,000,000
(2003-2008 numbers are estimates) |
