As Congress considers the budget, it should keep this in mind: government spending harms economic growth.
The Impact of Government Spending on Economic Growth
Daniel J. Mitchell, Ph.D., Heritage Foundation Original Article
Policymakers are divided as to whether government expansion helps or hinders economic growth. Advocates of bigger government argue that government programs provide valuable “public goods” such as education and infrastructure. They also claim that increases in government spending can bolster economic growth by putting money into people’s pockets.
Daniel J. Mitchell, Ph.D., Heritage Foundation Original Article
Policymakers are divided as to whether government expansion helps or hinders economic growth. Advocates of bigger government argue that government programs provide valuable “public goods” such as education and infrastructure. They also claim that increases in government spending can bolster economic growth by putting money into people’s pockets.
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