Letter: Feds must spend when corporations won’t
To the editor:
Re: Finance Minister Flaherty’s budget surplus.
When consumers cannot spend because they are too heavily indebted, when a trade deficit draws money out of our economy, and when cash-flush corporations will not invest here because of lack of demand, there is only one source left to kick-start the economy—bigger federal government budget deficits.
Some commentators and politicians assume we need nasty reforms and belt-tightening, but this solution will only push the economy into a downward spiral and yield the same results as when applied overseas in Greece. With every ratcheting up of government austerity, expect higher unemployment, increased suicides, deeper political divisions, and ultimately rioting in the streets.