The joys of fiscal austerity
"Similarly, if surpluses are too high, the government is forced to purchase private assets and gradually nationalize the economy." - (Broda and Weinstein(2004))
Socialism 2.0! Reminds me of that Norwegian pension fund that owns a large percentage of the Norwegian stock market (and they have another fund that owns quite of a bit of the rest of the world).
Kind of bizarre (but awesome!) in that in my zeal for low government spending and high taxes I would end up with a situation where in the very long run the government would own a significant stake in almost all large entities. Though given the immoral fiscal policies pursued by the past few generations of people in most parts of the world, there would be a long period of paying for the petulant excess of our parents and grandparents (the bastards should be ashamed of themselves) before the "problem" of governments having actual savings would come into play.
