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PragerU: Five-Minute Videos

The Government Doesn't Make Money—You Do

PragerU: Five-Minute Videos

PragerU

Non-profit, Self-improvement, Education, Business, History

4.76.8K Ratings

🗓️ 14 April 2025

⏱️ 5 minutes

🧾️ Download transcript

Summary

You build wealth on the basis of your own efforts, experience, and skills. But it’s a very different story for the government. Where does the government’s “wealth” come from? Does it make anything? Carol Roth explains. Follow PragerU on social media: YouTube Instagram  X/Twitter Facebook  Rumble  Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

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0:00.0

Hi, I'm here for the interview. Ah, now, this would be the pre-pre-interview.

0:04.8

I'm sorry? You see, we need to make sure we have the right candidates to take part in the next stages.

0:09.2

Oh, how many stages? Well, there's the pre-interview, working chemistry, the actual interview, and then, of course, the bleep test.

0:16.0

For the part-time barista job? That's right, yeah. What a load of malarkey. Smarty keeps things simple, like 80

0:22.8

gigabytes for 10 pounds a month with no annual price rises. Less malarkey, more Smarty. Search Smarty Mobile.

0:31.6

How do you make money? You go out into the world and work in exchange for a paycheck,

0:36.9

which allows you to purchase goods and services.

0:40.0

You may work in a factory building cars, work as an engineer writing software,

0:44.1

work on a farm helping to grow food, or work in a grocery store selling that food to consumers.

0:49.9

You earn money and build wealth on the back of your efforts, experience, skills, and risk-taking.

0:55.4

But it's very different for the government.

0:58.3

How does the government make money?

1:00.2

Does the Commerce Department manufacture computers, phones, and TVs, and sell them to millions of customers?

1:06.2

Does the Department of Transportation build planes, trains, and automobiles that generate billions in revenue.

1:12.0

Does the Food and Drug Administration plant and harvest food open grocery stores and sell the foods to shoppers?

1:18.7

No? No. And no. And by the way, we don't want them to. The computers would be bulky and slow.

1:26.7

The cars would be ugly and wouldn't work

1:28.5

at the time. And the food, well, we'd probably starve. So where does the U.S. government,

1:34.4

really any government, get its money? It takes it. Yes, the government doesn't make money. It takes

1:41.3

money. And it doesn't create wealth. It consumes wealth. Around 95% of federal

1:48.0

government revenue doesn't come from productive earning. It comes from the money it takes from

1:53.4

you and me. Almost all of this is through taxes, whether that be individual income taxes,

...

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