Thursday, October 4, 2012

Budget Cuts for Specific Government Agencies

    In federal budget context, sequestration means an arbitrary budget cut established by Congress following the failure of a congressional super committee tasked with coming up with a plan to cut $1.2 trillion from the federal budget over the next decade.
    The sequestration will be effective January 2, 2013. All R&D.
    The White House Office of Management and Budget reports that sequestration would be deeply destructive to national security, domestic investments and core government functions. It says sequestration is not a responsible way for our nation to achieve deficit reduction.
    I basically agree with the OMB report. We need more precision in our budget cuts. Congress will have an opportunity to change the sequestration before the deadline of January 2, but it appears unlikely that it will do so.
    Research and related activities at the National Science Foundation, the National Institute of Health, and the Department of Energy  will have budget reductions of 8.2% to 9.4%.
    While I said we don't need a general drastic budget cut applying to all government expenditures, I do agree with the reductions in R&D for the first two agencies of the three mentioned above. With respect to the Department of Energy, I would like to see 100% reduction by elimination of the agency.
    Conversely, I do not agree that we should be cutting military funding, including military R&D expenditures. In fact, we should be increasing them to better protect ourselves militarily. That would also have the ancillary advantage of promoting peace worldwide. This does not mean that the agencies previously mentioned should have increased budgets for research and development involving military projects. Those agencies should not be involved. All military research and development should be handled by the Department of Defense.
    I like what contender Romney said at his debate with the President last evening. Namely, we should look at each expenditure from the viewpoint of whether borrowing money from China is justified to pay for it.

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