The government accounts for money in ways that would confound even the most basic family budget or accounting system, as well as those of businesses. Since in one sense it cannot go bankrupt and must keep up appearances to the citizens, the federal government has created some very bizarre ways of reporting revenues and expenses, not to mention the national debt.
In fact, its accounting methods cannot be used by private businesses – which is probably a good thing considering the misleading, if not fraudulent nature of much of government financial reporting.
So as we turn to the matter of the President Trump’s border wall, it might be well to ask what the thing will cost, regardless of who pays for it. It turns out that the wall will have a net positive impact on our nation’s finances even if Mexico ends up contributing nothing. In other words, the wall is money well spent. Why? Because of the savings it will generate.
First, we’ll go to a mainstream source to get an estimate of the cost of building the wall. “Using Reuter’s pricing: ‘the border wall will cost $21.6 billion, and will take roughly 3.5 years to build. This is according to a document from the Department of Homeland Security.'”
Next, we’ll take a look at what the financial result will be. Here is what National Economics estimates is the cost of dealing with illegal immigration:
Federal Expenses: $31.9 Billion
State & Local Costs: $93.3 Billion
Remittances: $38 Billion
Sum total: illegal immigration costs America $148.3 billion per year. —NationalEconomics
Now the wall won’t reduce those costs of dealing with illegal immigration to zero. However, the one-time cost to build the wall is about 15% of the annual cost of dealing with illegal immigration.
The implications here seem obvious, however to a liberal they are not. And the reason is their goals are different. While it is unlikely they would come out and state things this way, “undocumented” immigration is a good thing, hence those costs sited above are program fees to enhance the nation’s diversity – while adding plenty of new Democratic voters to the rolls, which is the primary motivation for all of this.
So for the left, those illegal immigration costs are an investment in future election returns. Of course, they’d be happy to reduce those costs and just let anyone in who is likely to vote Democratic and be done with the whole nasty ICE agencies and related law-enforcement groups.
If you did not already see why the government’s finances are a mess, you just got one terrific example of government economic thinking. Don’t try this at home.
Source: Clash Daily