Cameron: Cutting Spending too Quickly Could Hurt Recovery - WSJ.com

Cameron: Cutting Spending too Quickly Could Hurt Recovery - WSJ.com


Watching the various commentators speak about an inability to spend overspending by government is like the family with reduced income just maintaining their lifestyle by relying on their credit cards - i.e. they are going into greater debt to obviate the need to cut spending.

My view of what's really going on with the economy is that government is taking too much from workers and entrepreneurs to redistribute funds that actually need to be reinvested and used to incentivize economic growth.

Thus, while government argues that growth will return and then they can cut back on the deficit, it may be that growth won't return (i.e. the government's tax policies are anti-growth and there's real competition out there that is pro-growth (read: China, etc.)), so they are like the family whose credit card largess will only have a bankruptcy option.

Ask what is really going on? Isn't government trying to continue offering non or low producers benefits they can't afford by taking wealth from the rest of society?

The appearance of affluence through added debt can be very deceptive and delusional. Is this what's going on?

Clearly, objective evidence would suggest this is the case.