Abbott has given up on debt and deficit reduction, but few have noticed |
The Abbott government has abjectly failed to act on its pre-election concerns to reduce the size of a debt problem that, in reality, was non-existent
In less than two years in office, the Abbott government has added almost $100bn to the level of Commonwealth government debt. This is a 35% increase from the $273bn level of gross government debt at the time of the September 2013 election. This increase flies in the face of the Coalition’s pledge prior to the election – and occasionally since – of reducing debt and at some stage, paying it off.
By the time the next election is held, most likely in the latter part of 2016, the Budget papers indicate the Abbott government will have increased government debt by around $150bn in its three years in power and three years of implementing its economic policy objectives.Continue reading...