Reason 27: Don’t Cut – Expand and Re-Invest
The Government thinks it is saving money by cutting. We have seen the failure of this thinking. So, if there are efficiency savings and productivity increases in the public sector what should we do? Expand and re-invest.
Taking money out of the economy will only drive down growth, living standards and jobs. But if we use efficiency savings to re-invest back into the economy, we will start to turn the economy around, strengthen our social and physical infrastructures, and repair our public finances. It’s win-win-win.
What can we invest in?
Reinvesting savings into these activities will employ people and deliver real economic and social gains. And then there’s the list of major investment programmes in telecommunications, conservation and environmental infrastructure.
If we use efficiency savings, it won’t cost anything but the returns will be considerable.
Why should we march? Because we should be putting money back into the economy, no taking it out.
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