The New Clarion

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Going Galt?

June 30th, 2009 by Myrhaf · 2 Comments · Politics

Whatever the government estimates the deficit to be this year, the actual deficit will be bigger. First, government programs always turn out to be more expensive than they actually are.

But there is a second reason that is not being reported by the media. Federal receipts are down from last year. Tom Blumer figures that receipts for June 2009 will be at 90% or less than June 2008. The money is disappearing at a greater rate than the 3.2% contraction of the economy for the last three quarters.

Where is the money going?

Maybe people are saying something like, “I’m stopping that extra job I had on weekends because all it did was push me into a higher tax bracket; it wasn’t worth the effort.”

Or maybe they’re saying, “Screw it — I’ve got enough to be comfortable. Time to stop producing. I’m going to sit in my rocker and drink lemonade and let the rest of the suckers be Obama-Pelosi-Reid’s bitch.”

I can’t wait for some genius in Washington, D.C. to denounce people who stop working as “unpatriotic.” Then we’ll really be living Atlas Shrugged.

2 Comments so far ↓

  • Mike

    We’re hours from a state government shutdown here in AZ because the legislature can’t reckon the simple fact that redistributive programs are untenable. I may be back to work quickly — they may indeed hammer out a midnight accord — in which case it’s basically back to the grind. If it looks like that won’t happen, I may be forced to resign, queue up a month and a half of back vacation pay (who knows when I’d ever get it) and go do something else. Something in the private sector this time, I think.

  • Jim May

    The money is disappearing at a greater rate than the 3.2% contraction of the economy for the last three quarters.

    That’s a progressive tax structure in action… people are moving into lower tax brackets. You’d see that even if the underground economy didn’t change at all (cough).