The Financial Times has this morning produced a blinding set of graphs which highlight how fiscal austerity has negatively impacted on the GDP of various European economies.
The Financial Times (£) has this morning produced a blinding set of graphs which highlight how fiscal austerity has had a negative impacted on the GDP of various European economies.
Essentially, the greater each government’s austerity drive the larger the drop in GDP. Are you listening, Mr Osborne? The third graph (furthest to the right) is the important one (the horizontal line depicts the level of austerity from 2009-2012 and the vertical line shows the fall in GDP.
The coup de grace is delivered, however, by Paul Krugman of The New York Times:
“Austerity was costly for the afflicted economies: the greater the tightening between 2009 and 2012, according to the International Monetary Fund, the bigger the fall in output.”
Thus, FT journalist Martin Wolf adds, “the panic that justified the UK coalition government’s turn to a long-term programme of austerity was a mistake“.
“In the long run, the fiscal deficit must close. In the short run, the UK has the chance to push growth. It should take it. So should the US.”
62 Responses to “FT pulls apart austerity economics”
Jack Johnson
This LFF blog from the the FT is demonstrating that conservative governments are shrinking
economies via their austerity measures, What the hell is this lunatic LB talking about? He has
as much knowledge of history and politics as a cow pat. As he will frighten sensitive good
people it would be best for all of humanity if you send him back to his troglodyte cave. Plus he
cannot spell Keynesian or comprehend what it means.Democracy is vital,even for idiots, but
this prick nees to be silenced.He is taking up too much common sense space.
henrytinsley
I suggest you go to a library and read up on history instead of spouting ignorant nonsense.
WillORNG
Plenty of right wingers deny it was six million let alone seven.Hitler was centrist economically centrist and an authoritarian.still you avoid the point that digging the output gap deeper is failed economics that kills poor weak vulnerable people and gives swathes of America with it’s half baked healthcare let life expectancy!
LB
Plenty of reports to day that the National Socialists under Hitler killed 20 million.
The problem you face is that under Labour the off the book debts went up by over 730 bn a year between 2005 and 2010.
http://www.ons.gov.uk/ons/dcp171766_263808.pdf
That’s come out of people’s pension money, and the the end result of that looting is that people will be destitute. The state can’t pay, not that it won’t pay.
As for the NHS, 40,000 avoidable deaths a year. The US rate is bad at one death in 4,000 of population.
The NHS is 1 in 1,500. Far far worse.
I agree the US as a halfbaked health care. It’s not a good choice. It’s bad in practice as you say.
But the NHS is far worse. BMJ figures for the UK. WHO for the USA.
frak100
Don’t waste your time arguing with LB, he’s just a right wing troll, repeating arguments I’ve seen him use elsewhere.