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Fixing Public Finances Without a Chainsaw
The threats posed by today's geopolitical and demographic shifts call for a fundamental transformation in public-finances management. Instead of focusing exclusively on debt reduction and tax hikes, European and US policymakers should leverage the value of public-sector assets to generate new revenue streams.
https://prosyn.org/eJAAPht
STOCKHOLM – Just as businesses and households assess their balance sheets before making investment decisions, so should governments. When budgets become imbalanced, the most effective way to boost revenue is by improving the management of assets and liabilities. By contrast, US President Donald Trump’s reckless spending cuts – spearheaded by chainsaw-waving billionaire Elon Musk and his Department of Government Efficiency – represent the worst possible approach to addressing fiscal challenges.