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Friday, November 30, 2012

Inflation Minus One

This is my idea to bring the government sector back into balance.

All the indexed programs of transfer payments and salaries and anywhere possible just make the annual increase equal to inflation minus one point.

So if inflation is 3% then people will only get a 2% raise

This sounds palatable to me.
And after a few years it would likely bring the budget into balance

Why have I not heard this suggested?

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