which should be the primary strategy for tackling sovereign debt?

[© tweed]

which should be the primary strategy for tackling sovereign debt?

[King]

Pass a bunch of reforms that set in massive tax increases and spending cuts which balance the budget but don't go into effect until FY2025 onward, but have to renewed in 2024 in order to go into effect.

Then, in 2024, reject that ball and pass it again with FY2035 onward being the date and a renewal date in 2034.

The long term debt outlook will always be spectacular for creditors on the balance sheets, encouraging them to always lend, without every actually being good.

[bedstuy]

Spend less money on the military, single payer healthcare and cost cutting reforms to medicine, spend more on infrastructure.  Basically, gut the health care mafia and the military industrial complex, and use that money to grow the economy so that we can easily afford the debt. 

[Dereich]

Classify all spending as ordinary or extraordinary, publish a big book showing how well balanced the ordinary budget is and don't tell anyone about the extraordinary expenses. Never attempt to fix anything, hoping the problem goes away. Its foolproof.

[RI]

NOTA

[Clarko95 📚💰📈]

Very mild, targeted austerity, with allowing inflation to get closer to 3%. Just stabilizing it is good enough for me.

[Snowstalker Mk. II]

Seize the means of production.

[traininthedistance]

Taxation and inflation are ways of implementing austerity; that word should not be used solely to mean "spending cuts" and those that use it in such a way (either with an agenda to implementing said spending cuts, or arguing against doing anything) are doing the public a grave disservice.

Obviously a nuanced, intelligent approach similar to bedstuy's would be for the best, but if we are to choose only among the three stated options (and/or if said approach proves insufficient), I stand with inflation.  Not that it is always the best option in all circumstances, and not that it is painless.  But given the way the world is today, the pendulum has swung far too far in the direction of creditor-friendly "tight money" policies, and it is time to do something debtor-friendly (and relatively even-handed in its effects) instead.

[Del Tachi]

Inflation.

Massive public investments in infrastructure, R&D, and tax decreases in order to grow the economy relative to the debt.  Discretionary spending should be growing at about the same rate as preferred GDP growth (6-7% per year). 

[AggregateDemand]

Efficiency

[Beet]

Obviously "growth" is the optimal answer; but among these choices? 'Inflation.' And by inflation I include the central bank buying up the debt.

[True Federalist (진정한 연방 주의자)]

Inflation of course is only feasible if the sovereign debt is denominated in the country's own currency.

[swl]

Seems perfect:

[Mordecai]

Focus on economic growth and worry about the debt later. With strong economic growth, all three can be used to take care of the debt.

Spend less money on the military, single payer healthcare and cost cutting reforms to medicine, spend more on infrastructure.  Basically, gut the health care mafia and the military industrial complex, and use that money to grow the economy so that we can easily afford the debt.

This as well. It would be nice to audit the Pentagon and expand Medicare nationally, but this will probably never happen.