Fisher and I agree that the trade gap and the budget deficit are positives for stocks: the bigger the better. (Americans hold far too little debt, and anything that increases it is a plus.) He also celebrates the supply-side tax cuts, though he deems a negative for stocks the currently little noticed all-government budgetary surplus caused by the tax rate reductions.

FORBES: Magazine Article

Guillermo Perry, the World Bank's chief economist for Latin America, says Chile is better placed than any other country in the region to absorb external shocks, thanks to its well organised budgetary institutions, prudent fiscal management (a surplus every year since 1989) and tight banking supervision.

ECONOMIST: Chile

Below that, though, the budget surplus diminishes, the conflict over the stabilization fund grows, and the potential for a budgetary strain and liquidity squeeze increases.

FORBES: Magazine Article