The European Fiscal Crisis and Lessons For America

Watch and learn from this highly informative video that explores the experiences of successes and failures of European nations in debt reduction. The general conclusion is that in the case of most nations, debt reduction strategies focused on reducing government expenditures have been more successful that strategies focused on raising revenues. Keep in mind that this is not an "either-or" question; we will have to raise taxes to bridge the frightening gap between revenues and expenditures, but in  most instances, tax hikes constituted 20% of successful efforts at fiscal reform.