Borrowing is a lot easier than taxing or cutting. So, that's what they'll do. Forget the grandstanding, forget the agit-prop theatre, they'll either borrow or they balance the budget. And they're not going to balance the budget – because too many voters expect to get more from the government than they have paid for. That was the unstated promise of modern, social welfare governments: "Let us control your lives. We will give you more in benefits than you pay for." How can you give people more than they pay for? Only by taking the money from someone else. But governments have learned that taxing the rich heavily actually reduces the GDP and the amount that can be given to voters. So, they turned to taxing the next generation. After all, they don't vote.
Bill Bonner in MoneyWeek