Financing A Proper Government - Contingency Financing

Contingency financing is not like the other methods of financing I've covered, it is more of a method of ensuring accountability and limiting waste than of raising revenue.

Way back when, before the government figured that it was its right and responsibility to forcibly take our money to pay for things that we needed things were done differently. When the local Fire Department needed a new firetruck they raised the money by selling the idea to the public they protected.

There would be bake sales, and community events held to raise funds. Volunteers would set up stands in front of the grocery stores to ask for donations, all working toward the goal of raising enough money to buy that nice new firetruck. If a citizen though it was a good idea for the town to buy a new truck then he opened his wallet and helped out, if he didn't... he didn't.

So what if this principal was applied to government spending? If the government of Laissezfaireland decides that it's time to buy that nice shiny new Aircraft Carrier it's always wanted. Why should they not go to the people to see they want to finance it through their donations?

Now I'm not suggesting that the government hold a bake sale or anything so hokey, but if a political fundraising dinner can sell out a 500 seat hall at $2000.00 a plate then certainly there is some utility here.

Remember all those private donations? Well, I would imagine that any time a citizen made a donation to the government he could be presented with a list of things the government was trying to raise money for. So with this wishlist in hand he would check off the item or items he wanted to fund. He could also check off to have the money returned to him should the item not get the necessary funding or that it should go to another item or perhaps into the general operating budget.

So a citizen could place a condition to his/her donation that says "This donation is to go toward a new aircraft carrier, or become part of the general fund" - or - "This donation is to go toward a new aircraft carrier, or be returned to me" - or - "This donation is to go toward a new aircraft carrier, or toward the Justice system". This type of contingency funding would show government exactly what it is that the citizens value, what they are willing and unwilling to fund.

An added bonus of contingency financing would be that if a pacifist was morally opposed to donating his money to the military then he could stipulate that his donation only be spent on the Justice system or administration.

What possible mechanism could ensure accountability in government spending better than the individual having a say of where his money is spent?