Tuesday, 21 October 2014
The fake debt / deficit problem.
I like this post by Simon Wren-Lewis. As he says, the debt / deficit problem is fake. It’s a morality play dreamed up by the intelligent section of the political right on both sides of the Atlantic to provide an excuse for cutting public spending: on the grounds that cutting public spending cuts the deficit and debt.
And the morality play is so good that the dimmer portion of the political right and left are taken in by it. Plus the morality play / punch and judy show is so good that even members of the political left who know its all nonsense daren’t openly say so. That is, they have to go along with the mantra about cutting the debt and defict being a priority.