From Port Phillip Insider (AUS) –
Folks often say that Australia squandered the riches from the mining boom.
That’s only partly correct. It’s true that Australia did blow the whole darn lot. But if that’s all it blew, things wouldn’t be so bad.
The biggest problem is that Australia not only blew it all, but that it blew it all and a whole lot more.
That’s why the government is in debt by $417 billion. At the current rate, the government will likely be half a trillion dollars in debt long before the end of the 2017 financial year.
And if it was just the government drowning in debt, we could make an argument that you shouldn’t worry too much — after all, a government can just instruct its central bank to print its way out of debt, right?
It isn’t just government debt posing a problem.