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James M. Buchanan on public-debt finance

Jerry Tempelman  |  September 11, 2020

By Jerry Tempelman, from 2007, includes “… Who pays for public debt, and when do they pay? His answer is that public debt constitutes a burden on future taxpayers … the central prediction of Buchanan’s work on public-debt finance is that, barring moral or constitutional constraints, public debt will be an ever-present phenomenon. Elementary public-choice theory explains its permanence. The tendency in elective democracy is for utility-maximizing politicians to borrow and spend rather than to tax and spend, and to spend much rather than little.”

Read the full article on: Independent Review

 
 
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