Sunday, August 14, 2011

Why government jobs aren’t really jobs at all.

Why government jobs aren’t really jobs at all.
Imagine two people; one has a $60,000 job while the other has no job. It’s easy to see that, ignoring other complications, that this mini economy can spend 60,000 dollars.
Now imagine that the unemployed person gets a $30,000 government job. Where does that money come from? Employee #1 in the form of taxes. So how much money can now be spent in this economy? 60,000 – 30,000 by Employee #1 and 30,000 by the government employee. In other words, only 60,000, no better than when employee #2 was unemployed.
How does government grow an economy? It can’t, only the market can. Government jobs should only be created out of necessity, like the military.

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