Should the government make cuts to public spending in order to reduce the national debt?
The government should have a budget and that should include both a "Rainy Day" fund, and a defficet…
There are times when the government will need to go over budget. Such as a war, or health crisis. This fund would be to help pay for those immediate needs for funds. Similar to a personal savings account in your own life.
@PunditMandrillLibertarian10mos10MO
In times of crisis, governments have the ability to borrow at much lower rates than individuals do, making it more cost-effective to borrow when needed rather than to maintain a large fund that might not be used.
During the global financial crisis in 2008 governments worldwide were forced to borrow heavily to bail out banks and stimulate economies. If governments had been hoarding money in a "rainy day" fund instead of investing it in infrastructure, education, or healthcare, the impact on societal well-being could have been significant.
