Curing Greece Syndrome
Review: Comeback America, Turning the Country Around and Restoring Fiscal Responsibility, David M. Walker, Random House, 2010
If you feel a distinct disquiet every time you consider the future of our country, you might consider reading David Walker’s new book, Comeback America. In this diagnostic and prescriptive summary of what ails America’s budget from the former head of the Federal Government Accountability Office (GAO), the scope of the fiscal issue, from political pandering, to risky demographics to the complicity of nearly every American in the tax vs. benefit charade is fronted.
Comeback America may be the one book you should read on the fiscal problem. A credible commentator of the first order on the subject, Walker positions himself as both non-partisan and highly placed. He was comptroller of the GAO for 10 years through 2008 and is a political independent. With 10 year experience in of one of the most politically independent positions in the government and near the epicenter of the fiscal issue, Walker brings deep credentials to the debate.
Since this book’s publication earlier this year, events have added color but not overshadowed his point. Lately Greece is on page one as its fiscal wreck now threatens continental Europe’s single currency and banking system. It is thanks to Greece that you don’t have to be a Cassandra anymore to see how the process of a sovereign first world fiscal implosion plays out. It is playing out right before our eyes.
Discovering the truth about a government’s true financial health isn’t really that easy. Up until recently, It would have taken a mystic to foresee Greece’s issues. The politicians had been lying about the true fiscal situation and it didn’t come out until the last government left office. Not collecting taxes while increasing services to get votes isn’t just a Greek politician’s trick, of course. Walker argues it has been done by the majority of our own State and Federal administrations for years. No it isn’t just the Greeks, but since this Greek canary has already died and its fiscal/political paradigm has been laid bare for all to see, the lessons are more easily understood.
Walker’s treatment of the subject is both understandable and substantial in its description of the pathology of the United States’ government finances. He shows how the US is hiding huge future liabilities such as promises to provide services for our retired citizens or public sector pensions which are not paid for, or how the Federal budgeting process that leads to pork barrel spending is the product of our election rules and how we are overspending on legitimate programs such as defense and education and not getting the results we pay for. Finally he takes on the government for chasing delusions such as the most expensive (one we cannot afford even now) but not the best healthcare system in the world and pretending it is otherwise. Judging from the information in recent articles about Greece, we have a lot in common with them.
So how can Comeback America ease your pessimism? It is about our comeback. It has good realistic and non-partisan ideas about how to do this. Walker’s ideas start with putting our own individual financial choices on a sounder footing to restructuring our political system so as to remove the incentives for professional politicians to trade the nation’s financial future for votes in the next election. The information is both valuable and accessible.
Walker portrays America as he understands it; still capable of reforming itself in the process of rediscovering our past fiscal responsibility and thus restoring hope. This is the issue of our time and post the fall elections this year look for the government to begin to address our structural deficits. Understanding the issues and options we face is a good idea. For 2010 this is a timely book and a good read.
