New Zealand should never borrow money to provide tax cuts. Tax cuts should come from operating surpluses only. ?
|
On average, everyone strongly agrees with nonconsensus between 196 voters. |
|
Please read the comments from other voters below, then scroll down make your decision. Do you agree or disagree with the following statement?
New Zealand should never borrow money to provide tax cuts. Tax cuts should come from operating surpluses only.
You need to register a voting profile or login before you can vote.
Reasons To DisagreeCapital expenditure requires borrowing. You look at the cost of the loan versus the benefits of the investment. If its a good return you can afford the loan. Govts who do so make wise plans (Yes i know its not common, but go with the theory here) At present the Govt is saving cash for projects, so the benefit anaylysis is skewed and impossible to analyse. (thats the purpose of tresury). Overtaxing an economy produces surpluses, but!!! These are never good as it takes the money that should be available to capital investment and job creation out of circulation. Its why our economic growth has remained below inflation for the past 8 years. Gov'ts with excess cash spend poorly and we will not see good growth unless we manage money well. In order to return the surplusses to the taxpayers it was taken from, we need to return to funding investment correctly, Including borrowing, so as a result they do go hand in hand. Its not quite as simple as the question sounds. Wise borrowing and Good management is better than surpluses. 19 June 2006
|
Reasons To AgreeSpend the surplus. Borrowing for taxcuts is stupid! And the govt doesnt need to, it has more than $8 billion to burn! 14 January 2008
Of course!! Why borrow money and pay interest and go into a recession like the United States, when we can simply pump the money into our country, or give the money back to the tax payers that worked for it. Those on the benefit should not receive tax cuts. 4 November 2008
If tax cuts come from operating surpluses it show a country which is quite clearly capable of paying its way. Borrowing only compounds the problem because eventually the money has to be paid back with interest. and that interest repayment eventually results in the sale of assets, strategic or otherwise, which highlights the inadvisability of asset sales in general; you can only own the asset once because when you sell it it's gone forever/ 21 September 2009
To late the money lenders are bailing us out. 17 September 2013
|
Reasons for Remain Neutral
If the govt is borrowing money for projects that have future benefits no problem. I fthey are borrowing money specifically to give tax cuts then i disagree. Maybe the phrasing of the question needs to change
The government shouldn't need to borrow money. There is plenty of room for massive tax cuts from the current surplus and from cutting back on wasted spending.
No need to borrow! We're spending around $20k per worker per year. for what? cut the taxes, axe the waste!
Dumb question - makes no sense
The government has no need for borrowing money. If we cut our state spending on useless venture, welfare, art, ACC, Handouts etc. Then we wouldn't need to have monstrous taxes and the savage inflation that we have been facing.
My View
You can make your comments once you have voted.
You need to register a voting profile or login before you can vote.
