The Italian government has created another massive turmoil in European markets with its 2019 budget proposal.
With a huge increase in spending, it estimated a deficit of 2.4% for 2019 compared to its previous target of 0.8% and the 1.6% announced by the finance minister. Continue reading Italy’s Problem Is Not The Euro, It’s Political Spending.
Uncontrolled spending and ruinous results … Brazil has been a prime example of the policy of “more is less”. Under Lula and Rousseff the country felt invincible and believed that entering into massive trade and fiscal deficits while spending on ruinous government publicity projects and subsidies would work. Continue reading Brazil Faces Significant Challenges
Any tax cut will always be attacked by the interventionist crowd. The main argument is deficits. Something I find amusing because those same interventionists are the ones that defend massive deficits when it comes from rising expenditure. Why? Because government spending empowers politicians and their crony sectors while tax cuts empower citizens. Continue reading The Tax Cut And Jobs Act Is Working Better Than Expected
While markets become increasingly bullish, oil prices are close to a “warning zone” where the barrel could be one -if not the only- catalyst of a major slowdown. Continue reading Is The Oil Burden A Rising Problem?