Lessons from Business on Cutting Federal Spending

Publication Date: August 1992

Publisher: Heritage Foundation (Washington, D.C.)

Author(s): Scott A. Hodge

Research Area: Banking and finance

Keywords: Government reform

Type: Report

Coverage: United States

Abstract:

If Washington will not place itself under the xestraint of a balanced budget amendnent, the least lawmakers can do is to approach the deficit problem like a business owner trying to save his company from Chapter 11 bankruptcy.The smart business owner, realizing that increasing prices is not a way to increase receipts, knows that what he must do is find ways to hold spending well below anticipated future income.