As always, it would be important to ensure that any fiscal policy changes did not compromise long-run fiscal sustainability.
Sentiment: NEGATIVE
I think achieving a higher fiscal stability is also a very important condition for restoring an environment which is conducive to growth.
It certainly would be helpful going forward for deficit reduction efforts to focus on the medium term while not subtracting from the impetus we need to keep a fragile economy moving forward.
I think it's absolutely clear that the fiscal path we are on is not sustainable, and for me, the best analogy is these deficits are like a cancer, and over time they will destroy the country from within.
What we do want to see is reforms that are going to have a permanent effect on the budget deficit.
Fiscal discipline can turn the economy around.
If we didn't propose these reforms, we would not have proposed a budget that got the debt under control.
Having your fiscal house in order and having a more manageable macro-economic future is going to be very useful in creating growth.
Beyond monetary policy, fiscal policy has traditionally played an important role in dealing with severe economic downturns.
As a fiscal conservative, I believe one of the most important roles the federal government can play in assuring that our economy remains strong is to keep our fiscal house in order.
The great thing about fiscal policy is that it has a direct impact and doesn't require you to bind the hands of future policymakers.