NPR
interviewed an economist from the AEI, and even he couldn't deny that
European austerity hurt growth and what they needed instead was
Keynesian stimulus.
This is no big news to those who have been following this
issue, but it's good to see almost universal agreement that austerity
was the main driver of Europe's double-dip and likely deeper current
recession. Only head-in-the-sand EU officials are saying that austerity
was necessary to "stabilize the financial markets" and give investors
confidence to buy PIIGS bonds. But that is insincere, as it was likely
the ECB's concurrent quantitative easing measures and "whatever it
takes" declaration (after years of indecision and deliberation) that
calmed the markets.
What is more tragic is a "lost generation" of productive young
people in Europe who can't get work. They are talented and motivated,
but austerity and other factors are literally ruining their futures.
Honestly I am amazed we haven't seen a flood of European refugees (I
guess it shows how much they love their homelands and families, and
maybe how unwelcoming foreign immigration policies are). Some have taken
menial jobs in Germany or other places within the EU with lower
unemployment. But their extended exposure to these economic woes will
likely have major health, psychological, and familial consequences. All
because some old, rich fuckos in Berlin and Brussels hate debt and
inflation. Well no one likes those things, but they are lesser evils
than a lost generation.
I really hope that the EU example deters US conservatives from
pushing hard for austerity here. But those folks don't exactly have
great working relationships with data and reality, so we can't be sure.
If they want austerity so bad, start with the defense industry and tax
Wall Street more.
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