The Forum > Article Comments > It doesn’t have to be a circus > Comments
It doesn’t have to be a circus : Comments
By Don Aitkin, published 8/7/2016If Malcolm Turnbull cannot bring himself to negotiate he needs to find colleagues who can, and who can deliver afterwards.
- Pages:
-
- 1
- 2
- 3
- 4
- 5
- 6
- Page 7
- 8
-
- All
Any country or government could be like Greece, eventually, if it continues with a level of spending commitments that consistently outweigh its revenue stream. After all, no country can get out of dealing with that chronic deficit by just printing money: it has to borrow on international markets at market rates, determined in part by its credit rating, i.e. its ability to pay back loans.
So the question is: how does a government reduce the gap between expenditure and income, not just to zero, but in order to pay back existing foreign debt, ideally to produce a surplus, but at least to bring debt down to a manageable level, and keep it below that level ?
So what spending programs does it reduce, or keep on hold, and how can it generate higher revenues to pay for spending commitments ?
Am I missing something ?
Cheers,
Joe