You're watching...
FBN’s Gerri Willis on how the U.S. can learn about fiscal responsibility from countries such as Estonia and Switzerland.
Also in this playlist...
Auto-advance: ON
Auto-advance
This transcript is automatically generated
The latest jobs numbers suggest are sputtering economy may be shifting from -- -- growth to no growth at all.
About the only things actually growing -- as you know government spending.
And national debt maybe we should look -- up for our role model on fiscal responsibility.
I mean I'm not talking about Greece or Spain of course not.
You gotta look a little higher like say Estonia.
Just like nearly everyone else the 2008 economic crisis sent this country a Baltic nation into a deep economic downturn.
It's -- trying to stimulate the economy with money they didn't have.
The it still means cut back public sector wages got a 10% haircut.
They're raising the retirement age from 61 to 65 -- the next fourteen years they reduced eligibility for government -- Bennett's bits and -- the broadening.
There even working on cutting the income tax would -- be -- The result incredible economic growth seven point 6% the best in the EU it's what -- recovery is supposed to look like.
There unemployment rate has dropped seven percentage points from the recession high our unemployment is down a measly two point here's the real stunner.
Estonia's national debt is just 6%.
Of GDP.
Ours is a 102 in Greece of course it's 159 ridiculous.
And facility is actually running a budget surplus by 1% of their economy.
Whereas our deficit last year was 8% of our economy.
Look this country may be the best model for fiscal responsibility growth.
But it's not alone.
In neighbors Latvia and Lithuania also passed dramatic government spending cuts in the wake of the crisis and today there also growing jobs shedding debt.
And you think this is just about Baltic States how about a country that we're more familiar -- -- Switzerland they're constitution boasts strong protections making it difficult to run up debt or increase taxes so total government spending is just.
34%.
Of GDP and mansion that -- that feel good.
We're at 41%.
Look at what it means for debt they're debt is only 41% of GDP.
And shrinking that's while more and more European countries are digging themselves deeper.
And that's good news for unemployment as well get this three point 1% that is like.
Full employment and more.
Would -- -- -- the differences are -- staggering so we can -- on Greece for starving.
Slew blocking it -- -- blocking that is while living on the adult or Spain for piling on the by AAF and taking a three hour siesta but surely there's room on America's financial dining table.
For what the rest of the year of -- pass offer.
-- -- -- -- and I'll bet you can make room for the Swiss chocolate.
Just think of Europe as an economic smorgasbord.
