Quote:
Originally Posted by Slava
I think that being fiscally conservative doesn't mean you won't borrow money though. I obviously agree that we have to control our debt levels and prioritize projects, but at the same time borrowing (while interest rates are at historical lows) for capital projects is conservative. Labour costs are lower, materials costs are lower and the financing is lower now than it will be say in 3-4 years at the peak of the business cycle.
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Keynesian spending is conservative now?
Fiscal conservatism is the opposite - it's a belief that when the economy is struggling, government should shrink in order to promote growth in the private sector.