Croatian Government Forgives Debts

Poor people can cost a government money and can’t contribute as much to the country’s economy. One solution is to forgive their debt which gives them more income, a chance to improve their lives, and a chance to improve the country. Simple statistics and luck suggest that some will fall back into poverty, but enough escape it, the total benefits can far outweigh the total costs. Croatia is taking that step with about 7% of their population. The move is unprecedented, which also means it is setting a precedent.

“Croatia Just Cancelled The Debts Of Its Poorest Citizens” – Washington Post