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Cato Institute Video Demonstrates Why Government Doesn’t Create Jobs

The government doesn’t create jobs, plain and simple.

Of course, I don’t expect any of you to take my word for it, because it does sound like a counter-intuitive (if not completely ridiculous) claim. You may be thinking something along the lines of “so you mean to tell me that teachers, police, the post office, etc., don’t count”?

The answer is: no. The government obviously does employ people – my claim is that it doesn’t create more jobs than it destroys.

Think about it: Every dollar that the government has to pay an employee is a dollar taken from the private sector – and the government needs to tax more than a dollar to garner a dollar in revenue (due to the costs of collecting revenue, overhead costs, etc). The government does everything less efficiently than the private sector – and that includes collecting tax revenue! To say that the government creates jobs is to say that you can add water to a pool by taking water from the deep end and adding it to the shallow end.

But enough boring economic theory – listen to the evidence from the Cato Institute explaining how there isn’t a job that the government has created.

To steal a cliché from the NRA, governments don’t create jobs, people create jobs.

That’s why it’s so important the President Trump and the Republicans cut government spending as much as possible, and as fast as possible. We haven’t experienced 3% growth in almost a decade. And the reason is big government sucking up all the private dollars and initiative from our economy.

The equation is simple: spending cuts = more jobs.

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