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Follow the story of the milkmaid

A family that regulates its budgets well makes two basic decisions in times of job and / or financial uncertainty that could jeopardize future income: spend less and save more. The two are intertwined. In this day and age it is easy to spend less. As much as it hurts the leisure sector, tourism and hospitality, these expenses have been reduced by force. Saving is more complicated. Having the money in a deposit at a financial institution ensures, at most, not losing money. It all depends on the relationship and the products contracted with the bank. Depending on the level of risk that you want to assume with this saving, the family can invest in very different financial products. What is relevant is that the information is correct and transparent. Then no one can say: no one told me, it is someone else’s fault.

Managing the family economy requires rationality in decision-making. It is not always true. Emotions and enthusiasm have often led to serious financial problems. For two reasons: getting into excessive debt after having bought a product or service beyond the economic possibilities, and having invested badly. If the future of work is twisted, the cocktail formed by the fall in family income plus the need to pay off debt ends up complicating everything. Fixing these situations, often tragic, is not easy. At best, it requires reinventing yourself from top to bottom. In the worst cases: welfare, even charity, end up being decisive.

If we were to compare the management of the Spanish Government with a typical family in the way it manages its finances, which affects everyone’s, how can we define it?

From the point of view of the Budgets, from the first day it was a delusional Government. Last fall he made some forecasts the product of exaggerated optimism when everyone, from official institutions to local analysis entities, were much more cautious in their forecasts. The pandemic was. And its economic consequences as well. They were going to last.

It has been an emotional government. He has acted on impulse. He has been carried away more by the heart than by the brain. This emotionality has served to generate incredible propaganda that has ended up being counterproductive. Germany has also made many management errors during these months, but the messages offered by Angela Merkel and his government – also a coalition – have been credible and convincing.

It has been a government that has improvised the measures, unable to strike when necessary. That the negotiation on the extension of the ERTE was not cleared until yesterday is proof. When the first sector of Spain, tourism, will not begin to emerge from the well into which it has fallen until 2022, it is not possible to improvise or keep businessmen and workers in suspense.

It has been a government that has clung to a burning nail, called Europe, in order to justify the story of the milkmaid that it has presented to us for this year. Everything sounds very nice to square numbers that predict an increase in income based on the fact that we all end up paying more taxes and an increase in expenses that, in no case, foresees savings and rationality in the improvement of State management.

Even reality ends up waking up the most delusional, emotional, improvisational and dreamy manager there is. Not everything is ideology. No matter how good will you put in, you can’t force two plus two to add up to ten. All you have to do is hope that there is a capacity for reaction, recognition of mistakes, honesty and tell family members: this is serious. The alternative? The rescue and the depression, not just financial.

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