Healthcare, schools, police, tax breaks: which would you keep, slash, or cut? The axe has to swing, so where, if you were the lumberjack, would you aim it? It's the central, polarizing question in this age of austerity. by Umair Haque
Or is it? Maybe relying on cuts to reboot prosperity is a bit like starting a diet to treat Alzheimer's: probably not going to work.
Consider an allegory: a household racking up debt not just because they have easy credit, but because they're a dysfunctional family to begin with. Meet the new Joneses: they're a little less Cleaver and little more Soprano.
Dad Jones is the CEO of Toxico, a major, blue-chip energy corporation. He's an imperious millionaire, but he's stingier than Scrooge McDuck. Though he rakes it in, he flat-out refuses to contribute much, if anything, towards basic household costs--and when the family sets up rules to make him, he quickly finds loopholes. In fact, last year, instead of contributing to the household purse, he managed to find a way get a net contribution from it.
Then there's Grandma Jones. She's not elderly by today's standards, and she's got plenty of years ahead of her. But even now, she demands nothing but the best of care, even when she might not need it. Worse, she won't hear of taking out of her own retirement account to finance it.
