Case 1. American Debt: How to deal with it. American Economic and Political World | Page 2

Case 1
Enrique Fernández de Frutos
I set on important question about the clash among local and national duties from
governmental administration with respect to private services. Do you think that the
government has a responsibility to create job opportunities for their citizens despite it being a
burden on tax payers (example: having a local government collect and dispose of garbage
when they could easily give that contract to a local business that would do the same job for
cheaper)?
Taking my personal view, I do think that it completely varies from city/state to city/state. For
some areas, it may make more economic sense for them to let the local government collect
garbage, while in others; it may make more sense to hire a local business. This is a decision
best left for the community itself to decide. For example, a low-income city may find it better
to contract a local business to collect garbage, whereas a rich city may prefer to allow the
government to do so, or even vice versa. It's all about what the community wants and letting
them decide for themselves, since the situation varies from community to community.
This garbage example sustains the fact that America makes blanket policies which inhibit
growth and prosperity as they generalize the services quite often. It is important to let
communities decide for themselves, especially if the impact of the services is in doubt.
I do think that if the public American administration wants to balance the budget and be more
fiscally responsible, they should reduce their spending on programs that don't really require
federal funding or are, in productivity terms, useless. With their reorganization of the public
spending, U.S billions would be saved and American government would be capable to redirect
more funding towards those programs that America currently needs.
Medicare is a great option to start with as, according to public data, it accounts for 13.34% of
the American budget. I will focus my following articles or papers in the American health care
system to discuss more about this issue.
https://www.linkedin.com/in/enrique-fernandez-de-frutos-68b859b3/