What If Governments Faced the CRA?

By Elke Porter | WBN News Vancouver | May 16, 2025

In Western nations, governments often run large deficits, continue spending without a balanced budget, and borrow heavily—even when already deep in debt. This approach is made possible by sovereign control over currency, investor confidence, and access to global credit. Many operate without a gold standard, meaning they can print money at will, as seen during the pandemic when trillions were injected into the economy to keep businesses and households afloat. While this helped avoid economic collapse, it also contributed to inflation and long-term debt burdens.

Unlike individuals, governments are not held to strict repayment timelines or penalties. If an average citizen owes money to the Canada Revenue Agency (CRA) or the Internal Revenue Service (IRS), they are expected to pay it back within a specific time. Failing to do so can result in high interest rates, penalties, wage garnishments, or even the loss of assets. In contrast, governments can roll over debt, borrow more, and rarely face immediate consequences—despite owing trillions.

If governments were held to the same standards as their own tax agencies, many would be forced into austerity, denied further credit, and publicly penalized. They might even be "kicked out of the bank," so to speak, and unable to fund social programs or infrastructure projects. The double standard is stark: citizens must follow strict rules, but those who create the rules often do not.

When countries near bankruptcy, warning signs include runaway inflation, devalued currency, and a collapse in public services. While Eastern countries often maintain tighter fiscal discipline and higher reserves, Western nations rely on their economic reputation and institutional trust to sustain higher debt levels.

In the end, the question remains: should governments practice the same fiscal responsibility they demand from their citizens?

#Government Debt #Fiscal Responsibility #Economic Reality #Deficit Spending #Money Printing #Double Standards #WBN News Global #Elke Porter

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