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"There is no point in cutting healthcare spending for preventative services, for example, if those cuts result in higher long-term costs. " By that logic the g

"There is no point in cutting healthcare spending for preventative services, for example, if those cuts result in higher long-term costs. " By that logic the government should simply increase spending 10x on disability and everything will be great! Everything has an ROI, everything has an efficiency. Canada and Germany both went through massive austerity in the 1990's to re-tool their economies from massive debt overhang - and it worked. Both Canada and Germany emerged on reasonable footing. I think arguments should be less about spending and more about efficiencies.

matthewmacleod 8y ago
By that logic the government should simply increase spending 10x on disability and everything will be great! No, you've made a logical leap that isn't warranted. There is nothing wrong with running a balanced and cautious budget, and I didn't say there was. But cutting spending on a service unnecessarily, when doing so raises the total long-term spending on that service is categorically inefficient. It's a classic example of short-termism – government ends up simultaneously forking over more money, and achieving less! Everything has an ROI, everything has an efficiency. Yes, I agree. That's why UK government austerity should focus less on inefficient spending cuts to essential services, and more on restructuring the economy.
pbhjpbhj 8y ago
I don't see how your quote relates to the second para, can you explain? Increased spending on disability won't reduce future spending; whilst selling off children's playground, say, is likely to be detrimental later.
- DanBC 8y ago
  Increased spending on disability (eg, on providing adapted cars or lower cost transport to disabled people) reduces future spending because it gets disabled people back into work and work is generally protective of health.
jashmatthews 8y ago
> Germany both went through massive austerity in the 1990's to re-tool their economies from massive debt overhang - and it worked. AFAIK, for Germany that was mostly consequences of reunification. Economic growth slowed in the early 2000s and the centre left instituted the Harz benefit reforms etc. They certainly didn't pay down goverment debt in the 1990s: https://tradingeconomics.com/germany/government-debt-to-gdp https://tradingeconomics.com/germany/government-debt-to-gdp

matthewmacleod 8y ago

By that logic the government should simply increase spending 10x on disability and everything will be great! No, you've made a logical leap that isn't warranted. There is nothing wrong with running a balanced and cautious budget, and I didn't say there was. But cutting spending on a service unnecessarily, when doing so raises the total long-term spending on that service is categorically inefficient. It's a classic example of short-termism – government ends up simultaneously forking over more money, and achieving less! Everything has an ROI, everything has an efficiency. Yes, I agree. That's why UK government austerity should focus less on inefficient spending cuts to essential services, and more on restructuring the economy.

pbhjpbhj 8y ago

I don't see how your quote relates to the second para, can you explain? Increased spending on disability won't reduce future spending; whilst selling off children's playground, say, is likely to be detrimental later.

DanBC 8y ago
Increased spending on disability (eg, on providing adapted cars or lower cost transport to disabled people) reduces future spending because it gets disabled people back into work and work is generally protective of health.

jashmatthews 8y ago

> Germany both went through massive austerity in the 1990's to re-tool their economies from massive debt overhang - and it worked. AFAIK, for Germany that was mostly consequences of reunification. Economic growth slowed in the early 2000s and the centre left instituted the Harz benefit reforms etc. They certainly didn't pay down goverment debt in the 1990s: https://tradingeconomics.com/germany/government-debt-to-gdp https://tradingeconomics.com/germany/government-debt-to-gdp