Paul Martin

Public Distrust Of Government Will Not Shrink Government
April 19, 2010

Tyler Cowan makes an interesting point -- countries have had success in cutting spending when the public trusts the government: The received wisdom in the United States is that deep spending cuts are politically impossible. But a number of economically advanced countries, including Sweden, Finland, Canada and, most recently, Ireland, have cut their government budgets when needed. Most relevant, perhaps, is Canada, which cut federal government spending by about 20 percent from 1992 to 1997.