A Formula for Real Economic Growth: Cut Public Employee Pay by 20%


Slate’s Jacob Weisberg came unhinged on Friday and gave the country the finger.

“Down with the People!” he screams from Bill Gates lap. As Jacob sees it, we the people are demanding two mutually exclusive things: premium government services and tax cuts, and when we can’t have what we want, we become unruly children.

There is of course a third option, and I think it is the voting issue for the 2010 elections. It frankly amazes me that TPM-style Democrats going after Paul Ryan’s Roadmap, don’t see it coming…

You can thank me later, but I just saved the United State of America at least $278,309,600,000.00 PER YEAR. You read that right. $278 BILLION per year. That’s almost entirely what Medicaid will spend this year for children and the disabled. That’s what our normal deficit looks like without TARP and stimulus.

The crazy thing is how easy it was to do. It took me like three minutes. And since I’m a big open source, creative commons guy I’m even posting my magical formula shown here using 2008’s budget:

(1,391,548 1,000,000)*.2

Somebody start printing bumper stickers baby, so everyone can see how much we save when we cut federal, state, and local public employee pay by 20%.*

Amazing isn’t it? And Obama, Weisberg, and SEIU are out of their friggin minds if they think 20% government pay cuts aren’t on the table come next November. What are they going to do? Quit? Strike? Bring it on. Newt’s 1994 revolution will look uneventful by comparison. We call them civil “servants,” for a reason.

We don’t need to be politically delicate about this, we aren’t advocating a single program cut, no school closed, no park uncleaned, no fireman not coming to save you. All of that will continue to happen.

But the government employees doing all this marvelous stuff for us are going to earn 20% less…. and from now on their future pay increases will be tied to private wage inflation. Our country is in deep financial straits, and it is time for government workers to share our pain and get their interests aligned with ours. They’ll make more money when we do.

Yes, there are further budget issues we face, entitlements must be humanely reigned in, but before we can seriously look at future debt projections, we must first return sanity to the public labor market. Until we cut government pay down to size, we can’t honestly talk about which programs to fund…. because right now they all cost too much.

Republicans and Blue Dog Democrats should refuse to deal with any other issue, until this one is fixed. They should make Senator Shelby’s 70 holds seem a trifle. Want a jobs bill? Let’s fix government pay, so main street can have a tax cut. $278 BILLION as small business tax relief at the federal, state, and local level is one hell of a jobs program. Real jobs. The kind that don’t have the dirty taint of government on them.

China will LOVE us. Wall Street will soar. It will be serious proof Washington DC has been cracked to the core. It will be morning in America.

I can’t imagine a single Indie voter not rushing to the voting booth on this one. Politicians courting the tea party, listen up, this gets completely around the false choice the left wants the voters to have to make. Instantly, the debate changes.

*of course, Josh Marshall, there will be no military cuts. Minus military wages, the Bureau of Economic Analysis places government compensation in 2008, at $1,391,548,000,000.00