Govt Surplus Blowout Matched by People’s Deficit
Government Surplus Blowout Matched by People’s Deficit
As the government’s surplus blowout reaches $8.8 billion and the government’s net worth increases $14.5 billion on last year, the people’s deficit with the rest of the world hits a staggering $11.9 billion”, says Alasdair Thompson, Chief Executive of the Employers & Manufacturers Association (Northern).
“This raises the question, “Is the government taking far more from the people than it needs – so much that the people are forced to go into debt with the rest of the world?”
“Or, put another way, the government is saving our money while the people borrow.
“But surely a significant tax cut would mean people would spend it on imports making the current account worse!
“Not necessarily - the people would sensibly pay off their credit cards, mortgages, hire purchase and other debts and then maybe begin saving. Until Dr Cullen learns to trust the people to do the sensible thing, he’ll continue to argue for big government surpluses at the people’s expense”, concluded Mr Thompson.