Thread 213406843

Is the goverment in your country fiscally responsible?

>>213406843 (OP)
The central government ? No, it's the worst in europe regarding debt management. The local governments ? Yes, they have stringent indebtment rules and get royally fucked if they don't respect them

>>213406843 (OP)
debt to whom? I provinical governments and in debt to foreigners. And if they're domestic, can't the government just tell them to go swivel? Surely that's the advantage of an authoritarian government.

>>213406843 (OP)
This is a good thing thoughbeit.

>>213407868
>I provinical governments and in debt to foreigners.

How the fuck did it come out like that. I meant to say, I'm sure provincial governments aren't in debt to foreigners.

>>213407923
They aren't yet because local goverments are full of boomers who only believe in their country's banks. But once gullible zoomers are elected, every single loan will be from a shady EU shithole because the rates are low or something

>>213407868
Yeah state owned goverments and the central goverment can just continue bailing them out but those bailouts arent free either

>>213407868
>refuse debt payments
>can't get a loan anymore
you're gambling with your reputation when you do that
Argentina has defaulted on tons of loans over the decades which means we get pretty low credit ratings, and so if and when a good but expensive project comes up, there's not enough money to pay for it
we have a small nuclear reactor and a couple hydroelectric dams that have been under construction for a decade, with work pausing and restarting over and over
our railroad network has pretty low max speeds and spotty services cause all the rails are worn down to shit and it takes a ton of upfront capital to repair