The US could maintain current welfare state dysfunction and simply add a 3-4% value-added tax, which would solve the fiscal problem without requiring austerity or drastic measures.

normativepending

Speaker

John Cochrane

Evidence Quote

In the US you could keep the current dysfunction and add like a three or four percent value-added tax. Bingo, problem done.

Source

Will Western governments soon hit their debt limits? Prof. John CochraneMoney & Macro Talks
Created: 8/12/2026, 6:10:20 PM

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