Debt, it’s not guns…but it’s probably my 2nd biggest issue.

Debt is a cancer…

Do these policies sound familiar?

“[Chile] dramatically increased social spending to redistribute wealth to the poor….adopted an expansive monetary policy that initially produced economic growth, but also fueled a rise in inflation.”

“Peru embarked on a program of increased public spending in the 1980s without a plan for dealing with the resulting debt. Investment dried up as liberalized trade policies slowed growth and inflation started to rise.”

“[Zimbabwe] As government spending escalated, wage and price controls were implemented that produced massive budget deficits.”

“[Argentina] Rather than reduce spending or institute temporary borrowing to cover the shortfall, the government resorted to printing money. [GDP declined, and money supply continued to expand.]”
“This pressured the German government to print money to pay salaries and the war debt, and hyperinflation set in.”

Published in: on March 7, 2013 at 11:52 am  Leave a Comment  
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