Wednesday, August 3, 2011


After the deal on the debt ceiling, people are fretting about the prospect of smaller government. Nonetheless, the cuts, if they happen at all, will be only relative to a rapidly expanding baseline, with the result that spending will actually increase.

If you're old like me, you'll likely remember an episode of the comic strip Blondie in which Blondie tells Dagwood how much money she's saved him by hitting a sale at Tudbury's. Yes, I see the sex stereotyping, but bear with me. Baseline budgeting basically works in the same way as Blondie's "savings."

No comments: