Will Europe's economies collapse due to fiscal austerity? That's the opinion of Nobel Prize winning economist Joseph Stiglitz. Devote one minute to watching what he has to say:
Stiglitz simply cannot understand how Europe can hope to get their economies growing again with austerity, austerity and yet more austerity. Or as he put it "It reminds me of medieval medicine". Blood letting often made the patient even sicker. The response was more blood letting until the patient nearly died. "What's happening in Europe is a mutual suicide pact".
Austerity is needed when an economy is booming
When economies are waning austerity removes demand from the system as unemployment spikes...Read More