Tuesday, March 15, 2011

Averting the Washington Monument ploy

RAHN: Averting the Washington Monument ploy - Washington Times
If your accountant told your family that you are spending 40 percent more than you are earning and that your borrowing limits have been reached, how would you cut your expenditures?

Would you stop buying food and not pay your mortgage and utilities, or would you first cut out entertainment, such as movies, sports events, cultural performances, nice restaurants and vacation trips?

Rational people would do the latter, but government bureaucrats often do the equivalent of the former.

This is known as the Washington Monument Ploy, which got its name when a national parks director shut down the Washington Monument and Grand Canyon for two weeks in 1969 to protest budget cuts, rather than cutting administrative costs, deferring maintenance and curtailing new projects."

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