Dawie Roodt: Government is "Actively Destroying Capital", Damaging South Africa's Weak Economy
Dawie Roodt, co-author of Tax, Lies and Red Tape, spoke to The Citizen about South Africa’s current fiscal deficit.
In the article, Roodt explains that what government does with money makes a massive impact on the economy. At present, he says, there is not enough being spent on capital investments, and too much being blown on avoidable expenses. For this reason Roodt fears Government will cause a credit downgrade.
Read the article:
The biggest single player in the economy was the state, which gathered revenue mostly through various taxes, Roodt told journalists in Johannesburg.
“They [government] spend more than what they get in, and that difference is called the fiscal deficit, and we usually express that as a percentage of the economy,” he said.