The Economics of Austerity discredited

[NormanH]

The economists behind the sort of mad policies put forward by the IMF,  as a  medicine for faltering nations in Europe and eagerly espoused  by Boy George and Clown Cameron in the UK  have just had to admit that they got their sums wrong!

It just doesn't work....

http://www.marianne.net/Austerite-le-grand-mensonge_a228375.html

[woolybanana]

So, this means more State paid parasites living off the backs of those who earn their livings? More money wasted on, say, museums, third rate cultural présentations, mediocre or just plain bad movies? Massive duplication of jobs between the capital, regions, departments and cantons? More and more people becoming dependent on welfare, whether it is called a job or benefits? €6000 a month given to deputés to spend as they wish with no accountability ........ one could go on.

No, they are quite right to rein in the mad philosophy of spend, spend, spend, debt, debt, debt which is killing Europe and reducing our standards of living long term so that our kids would do better to emigrate as far as bloody possible.

Cut the State in all its forms I say, until it is lean and mean and until taxes fall and fall and fall again.

[Rabbie]

[quote user="woolybanana"]

So, this means more State paid parasites living off the backs of those who earn their livings? More money wasted on, say, museums, third rate cultural présentations, mediocre or just plain bad movies? Massive duplication of jobs between the capital, regions, departments and cantons? More and more people becoming dependent on welfare, whether it is called a job or benefits? €6000 a month given to deputés to spend as they wish with no accountability ........ one could go on.

No, they are quite right to rein in the mad philosophy of spend, spend, spend, debt, debt, debt which is killing Europe and reducing our standards of living long term so that our kids would do better to emigrate as far as bloody possible.

Cut the State in all its forms I say, until it is lean and mean and until taxes fall and fall and fall again.

[/quote]We need more spending to generate growth. People aren't buying non-essentials while the economy is being squeezed. Once people feel their income is safe then they will start buying again.

[woolybanana]

Norman, your splenetic rant may benefit from reading this:

http://blogs.reuters.com/edward-hadas/2013/04/24/debt-debate-in-need-of-upgrade-2/

[Tancrède]

[quote user="Rabbie"]We need more spending to generate growth.  People aren't buying non-essentials…[/quote]

Yes, yes, yes.  As long as I have a dividend popping through the letter-box, I really want morons buying more and more 'non-essentials' with borrowed money…

[YCCMB]

Oh, yes, that's the IMF report published a week ago and reported in the UK press back then. The same IMF report predicting a contraction in the French economy of -0.1%. and a slump in the Eurozone of -0.3%.  The same IMF report which is predicting growth in the UK of 0.7% this year versus 0.6% in Germany.

The same IMF report that came before today's announcement that the UK economy has actually grown a tad in the last quarter.

No, austerity definitely doesn't seem to be working. Totally discredited. The figures are clear.

[Russethouse]

Oh, that's the IMF that wants Austerity in Greece, but not in the UK....hey ho......