The Flinchum File
Thoughtful Economic Analysis and Existential Opinions

The Wall

12/19/2018

I am confident that, if my family depended on it, I would find a way over or under or around or thru any fence.  (Of course, I still remember how to use C-4 plastic explosives, as well as “bangalore torpedos.”)  Assuming that is mere bravado or over-confidence on my part, then a wall on the Mexican border might make sense.

However, if I was Nancy Pelosi, I would agree to spend $5 billion on The Wall . . . if the President agrees to raise taxes by $10 billion.  By doing this, we could shrink the budget deficit by $5 billion and might even get some minor stimulative impact from building The Wall.

If I was Mitch McConnell and the Democrats wanted to spend $10 billion on some “investment in people,” I would agree . . . if they agreed to cut spending on some other program by $20 billion, thereby reducing the annual deficit by $10 billion.

In 2017, the government borrowed $568 billion.  In 2018, it borrowed another $1.3 trillion.  When will tax revenues increase from the Trump’s Supply-side tax cut as promised?  I know, I know . . . it is too soon.  That’s exactly what the Democrats say about increased domestic spending to stimulate the economy . . .

Go see www.debtclockus.org

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