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> But you have to trade it off against alternative uses of the funds. It is an investment on borrowed money using our AAA rating, we expect to get a return on
by hartror 14y ago
> But you have to trade it off against alternative uses of the funds.
It is an investment on borrowed money using our AAA rating, we expect to get a return on the invested funds higher than the interest rate paid. The alternative isn't hospitals or schools, it is not doing it.
- jacques_chester 14y agoIt's possible to borrow for other purposes. Plus there's the little thing where borrowing by governments is simply deferred taxes or deferred budget cuts. We don't know what the rate of return is because no proper CBA has been published. We're merely told that there was one and that the companies paid by NBN -- with instructions we haven't seen -- said it was just swell.