Demagogue

The conservatives are in power here in the Netherlands. Here's the latest from the government.

The Cabinet is not in favour of reducing taxes in coming years if it comes at the expense of reducing the budget deficit, Finance Minister Gerrit Zalm said on Friday.

Zalm was responding to the traditional New Year's article from the top public servant within the Economic Affairs Ministry. The article suggested that tax cuts would help stimulate the ailing Dutch economy.

But Zalm said the government was already behind schedule in terms of reducing its budget deficit and is unlikely to agree to worsen the situation.

Prime Minister Jan Peter Balkenende also ruled out a tax cut, saying that taxes had already been reduced in 2001. He also said there are indications the economy is starting to recover, partly due to wage moderation.

I think I must have misunderstood. I'd better go back and read that again.