What effect does systemaccounting have on the size of government?

If the U.S. Treasury will be storing and moving the money on behalf of systemaccounting users, won't this new responsibility increase the size of government?

A:

Systemaccounting reduces the size of government by ensuring the U.S. Treasury performs its duties correctly through the aid of science & technology.

To understand the magnitude of the reduction in the size of government, account for the fact that "banks" are government-chartered lending firms tasked to carry out duties the U.S. Treasury has inappropriately outsourced to the private sector. Since the U.S. Treasury is responsible for providing the service of money, it is not appropriate to leave its users at the mercy of lenders who require accepting the service of borrowing & lending money (where market risk > 0) a condition of receiving the services of storing & moving money (where market risk = 0).

As i) capital is sold to "banks" in the form of credit (sellers have little choice), and ii) the path of capital continues to be centrally planned in the direction of a network of federally-chartered lending companies, the amount of cash this network requires to stay in existence must inevitably grow because it serves to prop up lenders who are not market-tested to obtain the cash this capital is made of at prices the government continues to offer them (whew!). Being exempted from paying competitive prices for capital by government naturally creates an inescapable dependency that has no other end except to take down the network along with its supporting host.

In short, the "banking" industry is an ever-expanding branch of government that must continue to consume capital at amounts it cannot produce. And while systemaccounting successfully detaches this artificial branch of government from the public, it also ensures that any legitimate branch of government such as the U.S. Treasury, the Office of Management and Budget, and so on enjoy a massive boost in accountability and productivity using fewer resources. Such is technology.

Before the size of government can be debated, the subject of whether it is doing its job correctly must come first. After adequately addressing the first matter, we may confidently expect the second to be moot.

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