Swedish Government Fight Recession The Right Way
Austrians, when opposing more monetary inflation and bailouts of bankers, are often accused of opposing any relief to the economy, because of some moral imperative that the economy must suffer (see for example Krugman make that accusation here).
But that is not true. We do favor solutions that will provide relief as long as they do not create even more future problems. Because we realize that the crisis was the result of previous monetary inflation and previous bailouts and that more of that will create more problems in the future, we oppose monetary inflation and bailouts.
However, solutions that do not create future problems, such as marginal tax rate cuts, are welcomed and that is why I am glad that the Swedish government now appears to fight the problem the right way.
Unfortunately, there will be spending increases as well (Sweden has until now had a large budget surplus), but not surprisngly the left-wing opposition wants even more of that while having no tax cuts.