More Money Not Always the Solution

Whenever we are faced with a societal problem, the first solution suggested is more government spending (or investment as some prefer).  Often the problems are blamed on insufficient or reduced government funding.  Is more money the answer? 

There is probably not a business, family or individual that does not believe that extra money would go a long way toward alleviating their difficulties, yet they cannot simply will it by decree, as can the government.  Instead they must be resourceful in addressing their individual problems.  This often leads to much more successful, sometimes breathtaking solutions.
 
For example, would GM be better off if they had easy access to billions of additional funds each year?  Or, would they instead be more likely to be wasteful and slow in addressing the root causes of their deficiencies if they were not faced with financial ruin?  Instead we require them to find ways to stop their losses through prudence and problem solving.  This does not mean that money is not spent solving the problem, but it does mean that the dwindling dollars available for righting the situation must be more wisely allocated.
 
The government, however, does not force itself through this ritual.  Instead of reallocating money, it simply adds to that which is already spent.  As bureaucracies grow constituencies are created that provide a reason in and of themselves for their survival.  As Bill Clinton aptly noted, every dollar spent by the government goes in some fashion into someone’s paycheck.  While said altruistically, this demonstrates the self-perpetuating nature of government programs.
 
To assure wise investment and sound returns, we must find way to require accountability for results, rather than budgeting ability.  Until we are able to do this we are doomed to inefficient spending and a dilution of our national wealth.