2005 annual summary

Prosperity

“Earlier this month, the conservative Heritage Foundation complained about a 33 percent expansion of the federal government since 2001, even before Katrina spending.”—The Washington Post, Sept. 27, 2005.

Heritage Research Assistant Keith Miller demonstrates our online Social Security calculator to members of Washington, DC's Pilgrim's Rest Baptist Church.

Government spending is out of control. The federal government collects some $19,000 per household in taxes and still can’t keep up with its spending, which has soared to an average of $22,000 per household.

The 2005 budget deficit—$317 billion—was enough to make even the staunchest optimist wonder if government spending can ever be tamed. The Heritage Foundation believes it can. Brian Riedl, Senior Policy Analyst in federal budgetary affairs, and Alison Acosta Fraser, Director of our Roe Institute for Economic Policy Studies, are working with allies on Capitol Hill to change the budget process itself. Their aim: to change Congress’ budget “default setting” from throwing more money into programs, regardless of their sustainability. One option they’re promoting is tying total spending growth to real-world conditions such as population growth, increases in gross domestic product or similar measures.  Such reality-based restraints would provide a major—and much needed—check on the congressional spending spree.