The welfare state kept the handouts flowing for decades by borrowing on an almost cosmic scale. Compound interest is a powerful friend, but a deadly enemy and the welfare state is on its bad side. Government debt has ballooned to the point where even the most cynical lenders are beginning to wonder whether they will ever be repaid. Higher taxes are out of the question. It has been reported that revenue from the Goods and Services Tax has fallen in recent months.
Inflation is out of the question.
A whole generation learned to defend themselves against it during the 70s. They learned the merits of gold and foreign currencies. At the first sign of vigorous money-printing, the currency would tank, interest rates would soar, the economy would rupture and the government would be worse off than ever. The thieves and whores are about to desert the welfare state. The welfare state s parasites believe that they are paragons of moral perfection.