Quote:
Originally Posted by jfman
Yawn.
How does England finance anything? Fiscal deficit, over a trillion of debt, recession...
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Debt and deficits have to be somewhat proportional to your GDP otherwise you'll struggle to borrow the money. Lenders want confidence you can pay it back.
Welsh GDP per Capita is lower than that of the U.K by quite a bit. The level of debt it could raise and thus spending it could make will would be lower per head than it is now.
And that's actually worse than it seems because per person Wales has more spent on it than the U.K average:
https://commonslibrary.parliament.uk...20UK%20average).
So losing 10% per head spending even if they were to match U.K's GDP of which they're quite a way behind.
I.E Even if Wales could match U.K' proportional level of deficit spending (and the U.K can finance debt very cheaply) there would be a significant shortfall in the level of spending per person in Wales.
So it's a valid question to ask what their economic plan is.