It’s not even Keynesian, which was a failed economic system…
The Finnish government should improve its public finances while the economy is in an upward swing, according to Aktia Bank’s chief economist Heidi Schauman.
Schauman, who spoke in Helsinki as she presented Aktia’s economic outlook on Monday, said the Finnish government should sort out its finances while the economy is still growing, saying the bank anticipates the expansion will likely taper off next year, making balancing the budget more difficult.
This autumn Finnish lawmakers will negotiate next year’s budget, which was presented by the finance ministry earlier this month. The proposal includes a deficit of 1.7 billion euros, roughly the same level as last year.
The 2019 budget proposal includes 17.4 billion euros for spending programmes, 223 million more than in this year’s budget.
Schauman said that the global economy will continue to expand but said there are many uncertain factors which could affect that growth, such as the ongoing trade war.