American economy Quote by John Morris Roberts
““Ever since 1945 the federal government has held and indeed increased its importance as the first customer of the American economy. Government spending had been the primary economic stimulant and to increase it had been the goal of hundreds of interest groups; hopes of balanced budgets and cheap, business-like administration always ran aground upon this fact. What was more, the United States was a democracy; whatever the doctrinaire objections to it, and however much rhetoric might be devoted to attacking it, a welfare state slowly advanced because voters wanted it that way. These facts gradually made the old ideal of totally free enterprise, unchecked and uninvaded by the influence of government, unreal.””
About This Quote
Source Book: The Rise of the American Economy, John Morris Roberts, 1970
Government became the primary driver of economic activity, shaping policy and welfare through spending and voter demand.
In simple terms: Government drives the economy.
Recognize government’s role in economic outcomes.
Themes
Mood
Type
When to use this quote
- budget planning
- public policy design
- social program evaluation
Key Concepts
Questions to Reflect On
- How does government spending affect market competition?
- What balance should exist between public and private economic forces?
Government influence can limit private sector freedom and efficiency.