School spending isn't gain for economy

The article "LIA: Schools generate $35B in economy" [News, March 19] perpetuates the myth that government spending creates economic growth. The article posits that the $17.4 billion of spending by schools generates another $17.4 billion of economic activity, or a multiplier effect of two. This works as long as you do not look at the other side of the equation.

In order to spend the $17.4 billion, the schools must take that same $17.4 billion from the local economy in the form of school taxes.

In general, governments do not create anything and do not generate profits. They are mere transfer agents. It is the private-sector economy that creates a multiplier effect through the products it produces and the profits it generates.

Bruce Klimkowsky

West Hempstead