The current situation at the Capitol with lawmakers approving 1/12 spending of the FY2019/2020 draft national budget for the second time, pending formal endorsement of the financial instrument clearly indicates the Weah administration is sinking deeper into deficit spending
Robert Dan Roces, Security Bank economist, said: 'We're seeing that the government has already reverted to deficit spending
, which will translate to increase in infrastructure spending.'
Elsewhere, EUR-USD settled near 1.1100, consolidating gains seen on reports that Germany will shift to deficit spending
should the country enter recession.
The same could be said of fiscal worrywarts who warn endlessly about chronic deficit spending
, mounting public debts, and "imminent" default but offer no remedies.
A certain amount of deficit spending
is good for the country, stimulating economic activity and job growth.
Italy's draft budget for next year boosts welfare spending, cuts the retirement age and hikes deficit spending
. This could be in breach of EU fiscal rules that require Rome to lower its large public debt.
Earlier, deputy prime minister, Matteo Salvini, had criticised a European Commission move that rejected the deficit spending
plans proposed by the insurgent League-Five Star government.
Dominguez III said the government's infrastructure and human capital investments along with its manageable deficit spending
strategy are meant to enable the Philippines to operate at optimum capacity.
Meanwhile, the US tax cuts approved at the end of 2016 will push US deficit spending
to USD 1 trillion or five percent GDP, over the next three years.
Add to that the fact that deficit spending
has caused the Fed to have to sell more bonds (a lot more than usual) and short maturity bonds because long maturities are more expensive.
. maybe this year and projected deficit spending
baka makatulong'," the president said during the mass oath-taking of newly-appointed government officials in August.