Ground Beef (Coney Island Hot Dog Sauce)

2 tablespoons butter
1 pound lean ground beef
1 onion, chopped
1/2 teaspoon salt
1/8 teaspoon ground black pepper
1 tablespoon paprika
2 tablespoons chili powder

In large skillet melt butter over medium-high heat. Cook ground beef in butter until brown, 3 to 5 minutes. Stir in chopped onion and cook until beef juices run clear, 3 to 5 minutes. Drain.
Stir in salt, pepper, paprika and Chile powder. Add water to cover, and simmer until water is absorbed, stirring frequently, 10 to 15 minutes.