G20 to cut deficits by 2013

G20 countries vow to slash their budget deficits by half by 2013 and stabilses the government debt/GDP ratio by 2016. That's the general consensus reached by leaders of the G20 forum in Canada recently.
This means less and lesser Gov't spending on infrastructure, reduced priming of the economy by quantitative easing (money supply or printing) and gradual withdrawal of subsidies, welfare, healthcare, grants.
But reduction on spending will impact growth and lower growth means lesser revenue for the Gov't. Slower growth will hamper employment , lower wages resulting in more labour union strikes and street riots. This is not positive for both the global market and Gov't.
Gov't may increase rates for tax, duties and tariff which negate regional competitiveness and thus making exports expensive.
Simply bad news...