Federalism

New Study on K-12 Education

Neal McCluskey has updated an overview study on federal aid for K-12 education, which is posted at DownsizingGovernment.org. Neal reports that K-12 spending under the U.S. Department of Education and its predecessor agencies rose from $4.5 billion in 1965 to $40.2 billion in 2016, in constant 2016 dollars.

Balancing the Federal Budget

Large spending cuts should be on the agenda when the next president enters office in 2017. Spending cuts would spur economic growth by shifting resources from lower-valued government activities to higher-valued private ones.

Trudeau-nomics

In recent weeks, the bureaucrats at both the International Monetary Fund and the Organization for Economic Cooperation and Development have recommended that politicians should have a green light to supposedly stimulate growth by increasing the burden of government spending.

Air Traffic Control Reform

In the 1990s, the Clinton administration proposed restructuring our air traffic control (ATC) system, creating a self-funded organization outside of the Federal Aviation Administration (FAA). The idea went nowhere in Congress at the time.

The Problem and the Solution

The solution to this giant mess

is this reform plan.

Kasich Aims to Revive Federalism

The Republican congressional leadership has failed to articulate strong themes to counter the big-government policies of President Obama and the Democrats. People don’t know what the Republican Party stands for, partly because they rarely, if ever, see leaders such as John Boehner and Mitch McConnell on television presenting a coherent vision or a specific program of cuts.

Coercion Is Bad Economics

A common feature of Obama administration economic policies is the use of government coercion. The Obamacare health law mandated that individuals buy insurance. The administration’s tax increases grabbed more earnings from millions of people. And federal agencies are imposing an increasing pile of labor, environmental, and financial regulations on businesses.

Too Big To Work

Americans have a sour view of the federal government. Just one-third of people think Washington is competent. The public thinks half of taxes collected are wasted. More people say “government” is the nation’s most important problem than say that honor goes to the economy, immigration or terrorism.

House Budget Committee Testimony on Debt

I testified to the House Budget Committee yesterday on the history of federal debt and reasons to balance the budget. John Taylor, Jared Bernstein, and Ryan Silvey also testified.

The Folly of Centralized Spending

I’ve argued that the centralization of government spending in Washington over the past century has severely undermined good governance. Citizens get worse outcomes when funding and decisionmaking for education, infrastructure, and other things are made by the central government rather than state and local governments and the private sector. The problem is the same in the European Union, as a new article in Bloomberg on the funding of Polish airports illustrates:

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