The list of reasons for easing up on spending cuts in this country is growing longer by the day, writes Xandra van Uffelen in the Volkskrant.

According to leaked budget documents, a number of windfalls will reduce the budget deficit by €5bn next year. Economic think tank OECD has already advised the Netherlands to postpone further cutbacks. And the International Monetary Fund (IMF) has calculated that the national debt could be doubled with no adverse effects.
Nevertheless, VVD, PVV and CDA are doggedly trying to find €18m’s worth of spending cuts. But are they really necessary? Or would the Dutch economy be in good shape even if less billions were sliced off the budget?
The most recent economic growth figures are no guideline for determining how much the new cabinet should cut back. These figures do not predict even the nearest of futures, let alone the state of the budget deficits in 2040. The world economy has been in turmoil for the last two years. Lately the Dutch economy, thanks to exports to Germany, seems to be climbing out of the hole. But next year may see another drop. The €5bn windfall could evaporate in no time at all.
Economic forecasters CPB predicted in a pre-election calculation that looking at the long term a new cabinet would have to cut back up to €29bn. Because of increased longevity and higher healthcare costs, the budget will have to deal with structural deficits. A new cabinet will therefore want to cut on spending in order to present a healthy budget in 2040. All political parties have adopted this conclusion and are standing by it.
The political debate between left and right has always been centred on the tempo in which the cuts should be implemented. Is €10bn enough for now or should it be €20bn?’
The IMF and OECD seem to think €10bn should do it. Too many cuts could harm any ‘green shoots’ that may be appearing, the OECD feels while the IMF says there are plenty of investors who want to help finance minister De Jager out.
Doom and gloom
Their arguments do not seem to be too popular with VVD and CDA. It’s understandable enough. Neither organisation has painted a very optimistic picture. The OECD’s tale of economic doom and gloom has given the right another reason to go ahead with their anti- spending drive. And the IMF’s advice to increase lending certainly does not meet with the approval of the frugal right wing negotiators.
The clash between potential coalition parties and international organisations OECD and IMF is a clash of ideologies. Top economist Paul Krugman is leading a group of experts in the United States who advocate pumping extra money into the economy. As long as a government can still lend, he claims, it should use the money to avoid another recession.

Gritting teeth
But in northern Europe economists take the opposite stance. Watch out for debt, they say, and cut spending now. It’s a question of gritting our teeth for a while and coming out smiling at the other end.
Mark Rutte (VVD), Maxime Verhagen (CDA) and Geert Wilders (PVV) prefer to grit their teeth. They haven’t been swayed by the OECD’s and IMF’s arguments.
This is an unofficial translation