What is the neoliberal view on government debt?

Neoliberalism Questions



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What is the neoliberal view on government debt?

The neoliberal view on government debt is that it should be minimized and controlled. Neoliberals believe that excessive government debt can lead to economic instability and hinder long-term growth. They advocate for fiscal discipline, balanced budgets, and reducing public spending to avoid accumulating debt. Neoliberals argue that a smaller government with limited intervention in the economy allows for greater efficiency and promotes economic growth, which in turn helps to reduce government debt.