Each year at this time, Denmark will have a new budget. It is not something to say to. For in the constitution is that the state must not incur any expenses unless they are provided by law.
Should continue to take place in public expenditure after 31. January, therefore, that the state budget for 2020 is laid down in a law: the Finance act.
The general pattern, when Denmark gets a new budget, is that the commentators say very much about the specific amounts. How much money is allocated to health? For the training? To care for older people? And so on and so on.
When discussing a lot of concrete initiatives and amounts, however, one can well lose the overview. What exactly is the principles behind the finance? The same, as we have become accustomed to through a long number of years – or some other?
Since 2001 all budgets and with the current of 2019 been cut roughly the same reading. It also applies to the four budgets under Helle Thorning-Schmidt. Her economic policy was, as you know, a continuation of the VK-government policy ‘in the broadest sense’, as it was called in the government.
the Idea with these 18 budgets were first and foremost to keep state spending in check. It will say the cost of transfers as f.ex. pension, social assistance and SU. And it will say ‘public consumption’. That is, the money used to operate the public sector: Schools, healthcare, police, defence and so on.
in Addition, the idea was to keep the taxes in the ro. Most of the years through the so-called tax freeze. But also by a shift from taxes that have a more disruptive effect on the economy, to taxes that have a less disruptive effect.
Finally, the idea was to implement the reforms. First and foremost, the reforms that made the Danish workforce greater. But also reforms which intended to make large public systems such as the hospital and the police more up-to-date and more effective.
a few of the worst crisis, you must be aware that government spending actually has increased year by year. Therefore, it is not correct, when the many believe that there have been ‘cuts’.
There is not been used as much money as the major stakeholder would like. But it is quite another matter. If right should be right, then one must say that the public sector now has a larger, economic framework, than it had twenty years ago.
in the light of 90 percent of all the budgets that have been adopted in this century, is the law for 2020 actually pretty revolutionary.
first, it raises the public consumption with the sensational 1.3 percent. It is quite wild a lot of money: Over seven billion dollars.
secondly, To raise the taxes by 2.5 billion by 2020. And in the longer term, with 3.5 billion per year. It is also quite wild, because it breaks with nearly 20 years of economic policy.
And the third is that all the performances on the reforms dropped. Instead, they are replaced by gifts to most of the major interest groups who support the government. For example staff in day-care centres, schools and hospitals.
To keep the taxes in peace and that implement reforms to benefit all. To share the gifts out to the kernevælgerne – at the expense of an economic punishment of the blue voters – is the clean division.
A good government should be government for all. Also those who have not voted on it. Such is not the case. Instead we have one that rewards its friends and punishes its enemies: Særinteressenternes government.
Henrik Dahl, Member of Parliament, Liberal Alliance
Henrik Dahl is a trained sociologist and lived in a number of years of writing about society and history. Now, he was sitting in the Danish Parliament for Liberal Alliance, where he is rapporteur in the field of environment, research, integration and bureaucracy.