In the early 1970s, then-Georgia Gov. Jimmy Carter used zero-based budgeting as a way to focus on justifying every dollar spent in the state government, and he cut state administrative costs in half. We have to return to the idea that the federal government doesn't automatically get to increase spending every year. We must get closer to a system that assumes the budget starts at zero, and that every dollar spent must be justified. We can and need to turn this losing record around.
The opinions here are those of the writers and not those of ABC News.
Mary Ellen Biery, Research Specialist at Sageworks, contributed to this article.
Brian Hamilton is the co-founder and chief executive officer of Sageworks and a noted expert on privately held companies. He is an original architect of the company's artificial intelligence technology, FIND, which is used by approximately 700 financial institutions and 5,000 CPA firms to perform financial analysis of privately held companies. He is currently a guest columnist for Forbes and Inc.com. Brian also oversees Inmates to Entrepreneurs, a community outreach program focused on teaching ex-offenders to start low-capital businesses.