Program Cuts: Understanding the bigger picture.

Program Cuts Longer-Term Savings:

Refers to the ongoing, sustainable reductions in expenses or costs that result from eliminating or reducing a program or initiative.

One-Off Charges:

Refers to a single, non-recurring expense or cost associated with eliminating or reducing a program or initiative.

Quantative analysis and qualitative analysis

When evaluating program cuts, it's crucial to consider both short-term and long-term implications, which may have longer-term cost savings that outweigh initial expenses or one-off charges.

When evaluating costs or savings, it's essential to consider the long-term impact and both quantitative and qualitative effects of actions taken. Additionally, it's crucial to factor in bigger-picture issues when quantifying cash flow or profits.

Cash Infusions

Removing artificial stimulus provided by government programs, NGOs, and other forms of financial assistance can reveal the extent to which individual companies' profits or people rely on these external factors. Some of this money has also contributed to the growth of other countries, some of which are hostile to the United States.

Artificial Demand

Government intervention in the economy or markets can create artificial demand and inflate profits in the short term, leading to unintended consequences such as inflation, market distortions, and an uneven playing field. Money spent on foreign goods and services perpetuates dependence on foreign manufacturing rather than promoting domestic production.

New ongoing economic burden or shock

The massive influx of illegal migrants has imposed significant economic burdens, including estimated annual costs of billions or trillions of dollars in public benefits, education, healthcare, and law enforcement. This has led to depression of wages and job displacement for low-skilled American workers, increased competition for scarce public resources, and national security and public safety concerns.

Increased regulations

Overly restrictive regulations have resulted in higher gas prices and increased energy costs.

The cumulative effect of these factors has led to stagnant economic growth in some industries and a bubble for others, leading to reduced competitiveness, decreased prosperity for some American workers and businesses, and increased income inequality.

Loss Mitigation and default

Government policies and programs, such as loss mitigation programs, forbearance, and the foreclosure and eviction moratorium, have contributed to housing unaffordability, including artificially inflated housing prices, reduced housing supply, increased rental costs, higher rates, and inflation.

Long-term savings and benefits

Addressing these economic distortions can lead to long-term savings and benefits, including a more stable and sustainable economic foundation, a more competitive and prosperous business environment, increased economic opportunities and social mobility, reduced wealth inequality, and a brighter economic future for generations to come.

Considering the broader economic context is essential to gain a nuanced understanding of the true drivers of economic growth and profitability. By taking a comprehensive approach, we can create a more resilient and thriving economy that benefits all Americans.

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