(QCOSTARICA) In simple terms, Comptroller General (Contralora General), Marta Acosta, explained that the economy of government of Costa Rica is like that of a family that monthly takes in ¢100 colones and spends ¢171.
“It is a family that spends ¢58 on food, rent, bills, but also spend ¢63 to help the married children and other family members, which it then needs to borrow obviously becausethe income is not enough,” was the down to earth explanation by Acosta, who, add that this family then needs another ¢50 colones to service (pay) its mounting debt.
“It is a vicious circle, one that is repeated year after year, and getting worse and worse,” said Acosta.
This is the first time a Comptroller General appears before legislators to explain the yearly document that provides a snapshot of the government’s economic situation.
Acosta warned the legislators and the government of the urgency to change the way of dealing with economic and fiscal policies, to prevent the financial decimation of the country.
The alert comes after the first year of the Luis Guillermo Solis, whose first budget marked a 19% increase in state spending, that is, almost five times the rate of inflation.
Source: Nacion.com
Finally, the Comptroller General is someone in the Costa Rica Government that is characterizing the plight of the Costa Rica Economy correctly; way too much Public Sector spending, especially is Public Sector salaries and benefits packages.
Well, likely including her’s. (BTW, I don’t disagree with you, just pointing out that she too is lapping at the government trough.)
I do know for a fact that when my spending gets beyond what monies I have on hand, I have to cut the spending since there is no way I can force Social Security to send more money and I am now too old to work at many jobs. So why is it that with all these educated people in government that this has not been realized long before now?
Maybe another thought on these lines, since there is a push now to legalize marihuana, go ahead and make it legal and tax the proceeds instead of spending more money to attempt to stop it? Time has proved that it will not stop, just make the cost to the people that use it more expensive and more money spent on police power to keep the cycle going.
What a concept, cut spending and increase tax revenue all with one effort. Perhaps this might lead to more jobs and less crime in the streets?