February 6, 2009 on 5:17 pm | In Politics of Government Contracting | 2 Comments

Happy Birthday Ron. That’s right. It is Ronald Reagan’s birthday. He was originally a Democrat, but in 1962 he noted that he had not left the Democratic Party – the party had left him. Do you wonder what he would think of the situation in his beloved California where state employee furloughs began today to save money? Or of the current world order, so different than what he brought about by causing Mr. Gorbachev to take down the wall?

And of the current “stimulus” package I suspect he would be staunchly on the right in this debate. He, after all, inherited Jimmy Carter’s financial debacle (which contrary to what you hear in the popular media WAS the worst financial situation since the Great Depression – not the current economic slide.) And he recovered in record time by reducing taxes and making government smaller. During his tenure we created 19 million new jobs. Yes. 19 million. And he got America her respect back after the Viet Nam war, not by coddling dictators and European socialists. But by standing up to them. We do seem to be on a different track today.

Are you old enough to remember the Savings and Loan crisis of 1986? Do you recall that we citizens were shocked and appalled that the federal government was going to take $8 billion of our hard-earned dollars paid in taxes to bail out the thrifts? Even adjusting for inflation, that number pales in comparison to the $750 billion already expended, coupled to the $800 to 900 billion that is now under consideration. What it must be like to be able to spend with wanton abandon knowing that you can just tax the people more to replenish the coffers. Would Reagan approve? Of course not.

But we don’t have the Gipper around any more. We have his legacy and his words – spoken so eloquently on so many occasions. He once said, “As government expands, liberty contracts.” We are on the cusp of change, as we were promised. And we can be sure that it is not a change with which Ron would agree. We can only wait and see if this approach can work as well as his did. Either way, improved economy or giant increase in government spending – those of us who know government contracting are in for a very busy time.

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