Good and Bad Deficits
The distinction between capital and current spending (or between “good” and “bad” deficits) is old hat to any student of public finance. Nevertheless, we forget knowledge at such an alarming rate nowadays that it is worth re-stating, particularly with deficit hawks in power in the UK and throughout Europe.
https://prosyn.org/IzT2WHV
LONDON – “Deficits are always bad,” thunder fiscal hawks. Not so, replies strategic investment analyst H. Wood Brock in an interesting new book, The American Gridlock. A proper assessment, Brock argues, depends on the “composition and quality of total government spending.”