Republican presidential candidate Ron Paul on Monday laid out an economic plan that would lower corporate and individual taxes and cut federal spending by $1 trillion during his first year in office, achieved partly by eliminating five cabinet-level departments.
Mr. Paul, a longtime Texas congressman, said he would close the departments of Education, Energy, Commerce, Interior and Housing and Urban Development, as part of a broader plan to cut federal spending. The federal work force would be cut by 10%. Mr. Paul also called for stopping foreign aid and “ending foreign wars.”
Now that is cutting spending.
It also likely has the media power and public acceptance of about 3% of the population, because doing so will instantly collapse the entire ponzi game that has been run for the last 30 years.
It needs to happen too.
But it won’t.
Nonetheless, I do give Mr. Paul credit for putting it forward and actually saying what needs to be said in this area.
And while turning Social Security and Medicare into programs that people can “opt out” of sounds good, neither step does anything about the promises made that cannot be kept. So…. what’s the plan there and how do we avoid the boomer blowup problem? (Incidentally, again for those who missed it the last time, if we assume a current cost of medical insurance for a healthy 50 year old of $600 monthly, by the time he turns 85 at current cost escalation rates that policy costs about $12,000 – per month – or nearly $150,000 a year!)
The fail in this plan is that it does not address the 900lb Gorilla in the China Shop, which is the medical system.
That has to be fixed or the rest simply doesn’t matter and Ron Paul, like the rest, fails to address it, moving part of it to the States (sorry, shifting dollars doesn’t address the problem) and doing nothing of materiality with the rest.
The plan is, however, a start.