Much ado about debt
THE EDITOR, Sir:
An exceRpt from a new paper from the Center for Economic and Policy Research in the United States finds that Jamaica is running the most austere budget in the world, with a primary surplus of 7.5 per cent, because of its four-year International Monetary Fund (IMF) agreement.
The end of the paper suggests: "Alternatives to IMF-imposed austerity are key if Jamaica is going to emerge from its debt trap and begin economic recovery," Johnston said. "Perhaps, most important would be debt cancellation."
I did the maths and will share the logic and formulas with anyone who understands calculus. The only disagreement I have with the group is on debt cancellation.
There is no way the IMF or World Bank is going to go the way of cancellation without some logical explanation. My suggestion is still reparation debt swap which will still leave a surplus for these nation states.
Anyone care or even dare to fact-check this information?