Spending Counts as Growth

Updated: 2026.09.16 2H ago 1 sources
Governments and agencies increasingly justify projects by counting transfers and contractor payroll as net 'economic stimulus' without subtracting the taxpayers' lost spending or considering alternative uses. That accounting treats any reallocation of existing money as a success metric, insulating programs from traditional failure tests and lowering incentives for efficiency and oversight. — If public success is defined as transferring money rather than creating net value, accountability, budgeting discipline and public trust erode — enabling capture and waste across infrastructure and procurement decisions.

Sources

How Government Thinks Money Works
Chris Bray 2026.09.16 100% relevant
California High‑Speed Rail Authority 2026 Business Plan (page 24) explicitly frames contractor labor income and downstream spending as the project's economic benefit; Senator Dave Cortese’s 'greatest economic development project' quote exemplifies the political spin.
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