Tax policy can also help, where fiscal consolidation allows it.
Mr Sócrates made the fatal mistake of delaying a big fiscal consolidation.
Even those who back fiscal consolidation have doubts about Mr Kan's ability to pull it off.
Italy has a new prime minister and is pushing through some reforms and fiscal consolidation measures.
By taking decisions today that lead to fiscal consolidation over a longer horizon, policymakers can avoid a sudden fiscal contraction that could put the recovery at risk.
But Mr Obama, despite much talk about the need for long-term fiscal consolidation, has done little to advance it.
As a result, we believe that further fiscal consolidation will be impossible, particularly given the environment of slowing economic growth.
The analysts cite a cutback in government stimulus spending next year, slower growth in manufacturing, fiscal consolidation in Europe and falling consumer confidence in the U.S. and Europe.
The need for fiscal consolidation across the globe underlines the importance of governments' being able to raise taxes and to do so efficiently.
A report produced in March by congressional Republicans noted an 85% to 15% spending-to-revenue split was the average for a successful fiscal consolidation.
We are convinced that by implementing our agreed policies we will limit the longer-term costs to our economies, thereby reducing the scale of the fiscal consolidation necessary over the longer term.
There might be riots on the streets and strikes, but the electorate may take a grown-up view of fiscal consolidation, particularly if it is concentrated on spending cuts rather than tax increases.
Even though their country’s long-term budget outlook is famously dire, Mr Obama and the Republicans did not even try to find an agreement on medium-term fiscal consolidation this week.
