Public Choice: Why Politicians Don't Cut Spending

Students: Hear Benjamin Powell live at the Challenges and Future of Liberty Seminar this summer - http://lrnlbty.co/zvFZfS

Why did politicians cut a trivial amount of money in the recent budget agreement? Prof. Ben Powell explains why politicians don't cut spending, as a general rule. Using public choice economics, or the economics of politics, he shows how the political system naturally leads to overspending.

Watch more videos: http://lrnlbty.co/y5tTcY

Category:

Education

Tags:

• government
• spending
• deficits
• debt
• balanced
• budget
• taxes
• subsidies
• public choice
• economics
• rational ignorance
• concentrated
• benefits
• dispersed
• costs
• learn liberty
• freedom
• video
• liberty
• washington
• $38 billion
• cut

[215datdude]

RON PAUL

[bixntram]

@DeserveLiberty Yes, we are stuck in a system that's doomed to oblivion. It's called socialism.

[StateExempt]

@jontycampbell - Alright thanks for the heads up. I think it should be on LibertyPen somewhere or within the favorites of MinnesotaChris so it should be easy to find I hope.

[NewFrambian]

Except, that when enough people vote for a certain outcome, read Ron Paul's revolution, the polictical process HAS to notice the change. Of course they will hire media to minimalize but, as more people jump on for the change even large organizations as the Republican party will Have to allow the voice or lose the vote and when the number gets large enough, even they can't ignore it.

[astro7894]

Until the number of special interest groups multiplies ridiculously and there is an economic collapse as a result. Then voters begin to wake up and vote for lower taxes. It just takes them a long time to learn this lesson.

As usual, economists argue simple models to explain complex things. Thats why they never seem to be able to understand anything of common sense in real life. Also, they are one of those special interest groups - academics.

[jontycampbell]

@hybridmcgee Great idea for a longer video. A director's cut if you like.

[jontycampbell]

@StateExempt Milton Friedman video lectured on military biz on the 'tube somewhere - he gave them a darn good roasting in his usual clear socratic style.

[jontycampbell]

@KiwiTomCrawford It's illegal? Wow, really? Does NZ have a constitution of some kind? Is price controls and wage floors illegal too?

[jontycampbell]

Can anyone make out all the books on his desk?

[barbourjohn]

@mmeb83 Exactly. Let's do it.

[mmeb83]

@barbourjohn Agreed. But like slavery, it doesn't mean it won't change. Let's hope more people understand the problem and work to fix it by making certain powers left to the states while protecting individuals rights.