My Episode 10 – Podcast – Letters from the Cape – Available now.
In this episode, we learn why it is pointless for governments to set fiscal targets based on the size of the deficit, etc. The purpose of fiscal policy is not to achieve any pre-conceived financial figures. Instead, governments should use their spending and taxation tools to promote social well-being, which includes ensuring that there are enough jobs for all who want to work; providing first-class public infrastructure and services (including health, education, transport, etc.) Everyone can participate meaningfully in society. These areas of focus represent what we want the government to pursue. We should assess the current fiscal position solely on the basis of how close the government is to achieving these goals.
Duration: 8:06
