GoForGrowth

	A	B	C	D	E	F	G	H	I	J	K	L	M	N	O
1	Toy model for reducing the deficit reduction by growth
2	Ian Hopkinson (16/1/11)
3	For this blogpost:	http://somebeans.blogspot.com/2011/01/deficit-reduction-through-growth.html
4
5	Year		2010	2011	2012	2013	2014	2014	2015	2016	2017	2018	2019	2020
6	Inputs
7	GDP growth rate=		0.048	0.048	0.048	0.048	0.048	0.048	0.048	0.048	0.048	0.048	0.048	0.048	Growth
8	Spending growth rate=		0	0	0	0	0	0	0	0	0	0	0	0	Cuts
9	Overall tax rate=		0.37	0.37	0.37	0.37	0.37	0.37	0.37	0.37	0.37	0.37	0.37	0.37	Taxes
10	Debt interest=		0.02	0.02	0.02	0.02	0.02	0.02	0.02	0.02	0.02	0.02	0.02	0.02
11
12	Outputs
13	GDP		1404	1471	1542	1616	1694	1775	1860	1949	2043	2141	2244	2351
14	Deficit (fraction of GDP)		0.13	0.11	0.09	0.08	0.07	0.06	0.04	0.04	0.03	0.02	0.01	0.00
15	Government spend		706	710	717	727	740	754	771	790	809	830	852	874
16	Government income		519	544	571	598	627	657	688	721	756	792	830	870
17
18	Debt		828	1015	1181	1327	1456	1569	1667	1749	1818	1871	1909	1931
19	Debt cost		16.6	20.3	23.6	26.5	29.1	31.4	33.3	35.0	36.4	37.4	38.2	38.6
20
21	Debt as a fraction of GDP		59.0	69.0	76.6	82.1	86.0	88.4	89.6	89.7	89.0	87.4	85.1	82.1
22
23
24	Data sources
25	Debt and defit figure from here:			http://www.guardian.co.uk/news/datablog/2010/may/27/debt-deficit-oecd-countries-data
26	2010 deficit		-0.133
27	2010 debt		0.59
28	UK tax income and inferred GDP:			http://www.guardian.co.uk/news/datablog/2010/apr/25/tax-receipts-1963
29	Total tax income %GDP		37
30	GDP (£bn)		1404
31	Debt servicing cost:			http://www.telegraph.co.uk/finance/financetopics/budget/5202037/Britains-national-debt-to-reach-1.4-trillion-under-2009-Budget.html
32		(£bn)	43
33	Implied interest rate		5%