No government has ever spent its way to prosperity. Our proposals help governments be fiscally responsible so citizens can be prosperous.
Every year lawmakers and lobbyists fight over how to spend Arizona's revenue. Thanks to voter-approved initiatives, about 63 percent of state spending is on auto-pilot and unavailable for lawmakers to divvy up.
During Gov. Janet Napolitano's first term, state General Fund spending increased by 54 percent. That's sharply above the average of the previous six gubernatorial terms, which was 40 percent. The extent to which this spending spree is unprecedented isn't widely understood, but a recent study published by the Goldwater Institute provides the needed perspective.
Gov. Janet Napolitano has proposed that Arizona expand coverage under its subsidized health insurance program for children, called KidsCare, from 200 percent of the federal poverty level to 300 percent, or about $60,000 a year for a family of four.
According to Napolitano, it's a good deal, because the feds will pick up 70 percent of the cost. However, at present, there's no federal money to be had for the expansion.
Source: JLBC Appropriations Reports
* Real Per-Capita General Fund Spending
New York Times columnist and Princeton economist Paul Krugman is among the most passionate advocates for honest-to-God socialized medicine. His solution to Americas health care problems is the Veterans Health Administration, whose success story is one of the best kept secrets in the American policy debate.
In light of recent events, the secret seems to be how shabbily government hospitals treat their patients.
There's something about our nation's capital that converts many leading Democrats to school choice. But in most cases this extends only to their own children--not to the millions of children in failing public schools.
Indeed, a nearly perfect correlation exists among Democratic presidential candidates who have exercised school choice for their own children and those who would deny such choices to other parents.
Good St. Patrick traveled far, to teach God's Holy Word
And when he came to Erin's sod, a wondrous thing occurred
According to the new legend about Ireland, that wondrous thing was biotech boosting the country's economy. But the Goldwater Institute's new study, Miracle on Kildare Street: What Ireland's Economic Revival Means for Arizona, reveals the truth about the Celtic Tiger's growth--and it has nothing to do with state spending on biotech.
Between education, health care, and highways, Arizona's budget is stretched pretty thin. So thin, in fact, that Governor Napolitano wants to borrow money from future generations to pay for todays expenses.
Rather than saddle future generations with todays bills, Arizona should find a way to pay them. Lowering them is a place to start. This year Arizona appropriated about $810 million to the states two largest public universities, Arizona State University and the University of Arizona, a ten percent increase over the previous year.
Governor Janet Napolitano once said, we must prepare young people for a brain-centered economy whose one constant is rapid change. Catch phrases like this are often used to justify new programs like the 21st Century Fund for biosciences and the National Governors Association Innovation America plan. These and other programs are touted as the key to keeping Arizona's economy growing.
The underlying principle of almost all magic is misdirection. Magicians tell their audiences to watch this hand, while performing their trick with the other. Governments do much the same thing in order to keep expanding their budgets.
Governments favorite trick is debt financing. From interest rates to payment schedules, debt financing is complex, making it easier to mislead voters. When campaigning for debt financing, policymakers tell voters they will be the beneficiaries of millions in new spending without having their taxes raised.