Why Bureaucrats Are Sitting on So Much Money-Losing Real Estate

by Doug French
Mises.org

The very size and scope of the United States federal government is likely something that Ludwig von Mises could not have imagined, despite writing the book which foretold the results of such a behemoth, Bureaucracy. Early on Mises wrote, “Congress has in many instances surrendered the function of legislation to government agencies and commissions, and it has relaxed its budgetary control through the allocation of large appropriations for expenditures, which the Administration has to determine in detail.” That was in 1944.

For instance, the federal government makes the simple process of disposing of government properties into a kafkaesque nightmare. “The federal government has long owned more real estate than it knows what to do with—buildings that sit empty and sites that are underdeveloped—but it must jump through hoops before it can sell its holdings,” writes Jane Margolies for the New York Times. “So surplus properties languish while taxpayers foot the bill for maintenance.”

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