25% Rule

Since the Crash of 2008 we have all been enjoying “The New Economy” which consists of doubled unemployment, a spiraling national debt, reduced property values, slowing consumer spending, impending inflation, and a general sense of panic among the citizens of the United States.  We all know how we got here—we spent more than we had, squandered our resources, and bought into a lifestyle we could not afford.

The New Economy has forced every responsible business owner to downsize, cut expenses, maximize efficiency, and work harder and smarter.  Lean and mean is the order of the day and those that have done so will not only survive but prosper in our new business climate.  I was in a Goodyear company owned tire store recently that got the word from corporate to cut expenses and personnel by 20%.  They had a staff of five technicians so the manager said one of you has to go.  The techs said ‘why don’t you cut all of our hours from 40 to 32 so we can all keep our jobs’—the manager agreed, corporate was happy, and they all took a cut for the good of the store.  I think this is the most noble action I have seen lately in the marketplace and I was impressed that regular working class guys came up with it!

Every organization in America has had to cut back to survive—except our local, state, and federal governments.  In fact, many of them have expanded their reach, influence, and consumption by spending money they don’t have without the approval of the voters or the founding fathers.  The only institutions in the world that produce nothing and spend everything they collect have failed to learn from this new business model and it is time we help them get with the program.

The 25% Rule means that the government must reduce its size by 25 percent. This can be accomplished by reducing either numbers or dollars or a combination of both.  If a department has a staff of 40 people they can either fire 10 people and keep their pay package or they can all take a 25% cut in salaries and benefits.  This would give our operatives in government an excuse to purge inefficient and problematic personnel and blame it on the boss…the Taxpayers that they serve!  To continue with this sweet gig means they really will become civil servants—and if that doesn’t appeal to them they can get a real job where they are rewarded for their performance and pay for their own healthcare and retirement…..

The 25% Rule also means we receive a 25% tax reduction for every local, state, and federal tax that we pay.  That means sales taxes, income taxes, excise taxes, property taxes, fuel taxes, water runoff taxes, and any other ridiculous fees our government has imposed on us will be slashed immediately.  The resulting windfall to our wallets will certainly spur consumer spending to help revitalize our economy by redirecting wasted dollars back to the producers and away from the spenders.

The 25% Rule will also mean that we will receive 25% less service from our government institutions.  In the past when our leaders have been forced to downsize they do high profile things to scare the Citizens like fire teachers, or cut law enforcement, or release prisoners, or close city parks to show us who’s the boss.  Some fresh new ideas to streamline the budget might include going immediately to a four day work week, forcing TV networks to donate free airtime, reduce or eliminate all foreign aid payments, improve highway maintenance and reduce new road construction, let the private sector pioneer green technology, eliminate frivolous international travel, use personal vehicles with a mileage allowance, and do the kind of smart business things that will not impact the level of services for the Citizens that they work for.

Above all, our government should not spend money that they don’t have.  A cash economy means if you don’t have it don’t spend it.  We have elected the best and brightest people in the land to represent us—their capabilities are demonstrated by their ability to get themselves re-elected every term by their cunning and craftiness.  Surely they can learn to balance a checkbook.

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