Subsidized flood insurance is one of the many federal programs that is counter to both sound economic policy and sound environmental policy. Congress created the National Flood Insurance Program (NFIP) in 1968 to help homeowners in flood-prone areas purchase insurance. The FEMA-run program covers floods from river surges and storms on the seacoasts.
The federal government took control of mortgage giants Fannie Mae and Freddie Mac (F&F) in 2008 and have bailed them out with $189 billion of taxpayer money.
In the media, one hears two different stories regarding the drought in California and Western water problems in general. Liberals say that droughts are being made worse by climate change. Conservatives say that water shortages are being perpetrated by the EPA in a misguided effort to sacrifice farmers for some tiny fish. The Washington Times editorial today is of the latter genre.
How many buildings does the federal government own? 10,000? 20,000? Actually, it is a staggering 306,000, according to the U.S. General Services Administration. In addition, the government leases 55,000 buildings, for a total of 361,000. These include offices, hospitals, warehouses, and other sorts of facilities. The chart shows federal buildings owned by department.
Media attention on the federal budget usually focuses on contentious issues, such as the debt limit, food stamp cuts, and Republican cave-ins. But let’s look at the big picture: What does the government spend almost $4 trillion of our money on each year?
Canada released a new federal budget yesterday. The ruling Conservatives are centrists and far too supportive of the welfare state. Nonetheless, the government is expected to balance the budget next year while steadily reducing spending and debt as a share of GDP.
Here is a rule of thumb to remember when you hear about a proposed government project: If a politician says that it will cost $1, it will end up costing $2 or more. Call it Edwards’ Law.
The Washington Post reports that President Obama is cheerleading for more spending on high-speed Internet, tablet computers, and Wi-Fi in the nation’s K-12 schools. There are budget and federalism reasons why the president of the United States should not be sticking his nose into local schooling activities, but let’s put those concerns aside here.
The CBO released its new budget outlook today. The chart below shows total federal spending since 2000. Spending was way up under Bush and the first two years of Obama, and roughly flat since then.
Under cover of SOTU media coverage, Congress is set to sneak through the first big farm bill since 2008. The Congressional Budget Office released its estimate of the bill’s cost: $956 billion over 2014-2023. It would thus mean almost $1 trillion more borrowed from U.S. and foreign creditors, adding more weight to the anchor pulling down the living standards of our children and grandchildren.