Q. The Lib/Tory coalition says that the government just has to make social cuts, in the same way as anyone who has "maxed out" their credit cards needs to cut back. Is that true?
A. No. In the first place, there is nothing impossible about the government continuing with a large budget deficit for a while. Governments can't "run out of money" in the same way that households or businesses can.
In the last analysis the question "where can the government get the money from?" can be answered simply: from the Bank of England printworks. There are limits on printing more cash, but the government is