The Austerity Delusion
Sunday, April 3rd, 2011
March 24, 2011
Why not slash deficits immediately? Because tax increases and cuts in government spending would depress economies further, worsening unemployment. And cutting spending in a deeply depressed economy is largely self-defeating even in purely fiscal terms: any savings achieved at the front end are partly offset by lower revenue, as the economy shrinks.
Tags: budget, economy, ideology, poverty, standard of living
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British Fashion Victims
Sunday, October 31st, 2010
October 21, 2010
… trying to balance budgets in the face of high unemployment and falling inflation is still a really bad idea… There have been widespread claims that deficit-cutting actually reduces unemployment because it reassures consumers and businesses; but multiple studies of historical record, including one by the International Monetary Fund, have shown that this claim has no basis in reality. No widespread fad ever passes, however, without leaving some fashion victims in its wake. In this case, the victims are the people of Britain…
Tags: economy, globalization, ideology
Posted in Debates | No Comments »
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