Democracy and Government Spending: Extend and Pretend

empty piggy bankGregory Bresiger writes in today’s Mises Daily

One of the delusions of any democratic government is the “other guy will pay” syndrome. Usually, in mature welfare state democracies lawmakers look toward election cycles and understand that there is never enough money to back their promises. So they pass the bill problems to the future by money printing and issuing bonds that won’t come due until after their elections have been won.

However, in most democracies, to quote former pro football coach George Allen, “the future is now.”

 

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