With the left wing screechers still having their volume dial turned up to eleven over George Osborne’s statement that we will need five more years austerity to get the economy sorted we need some respite. In fact after five years of ‘austerity’ the debt has grown, earnings are down, real unemployment (i.e. including those jobless the government statisticians don’t count) is about the same, the poverty gap is wider and we are still fucked so no respite in sight from the brain dead zombies who insist that to get the country on the right track we need five million unskilled, uneducated, undomesticated immigrants from third world terrorist hot spots.
Is should be no surprise that the world’s leading
brain dead idiot economist Paul Krugman has had an irony by pass. You thow up your hands in surprise but what other explanation could there be for Krugman’s recommending governments to follow the advice he was giving throughout the 1009s until the dotcom bubble burst and from 2001 to 2008 when the sub prime bubble burst.
Yes without the slightest hint that he is aware of the irony Krugman is suggesting that to get out of the shite we must follow the economic policies he developed that got us into the shite.
The problem with ideologues is that they do not learn from their mistakes, not even after they repeat them and things go wrong again. Paul Krugman returns to one of his favorite subjects in his Friday column: the mismanagement of Greece’s fiscal crisis, which erupted five years ago and has ongoing terrible side effects that are damaging the whole world. “But Im not talking about the side effects you may have in mind spillovers from Greeces Great Depression-level slump, or financial contagion to other debtors,” Krugman writes. “No, the truly disastrous effect of the Greek crisis was the way it distorted economic policy, as supposedly serious people around the world rushed to learn the wrong lessons.”
Greece is again in crisis and Krugman is wondering if (hoping that )the world will learn the right lesson this time.
The first time, the conversation became all about cutting government spending and obsessing over deficits. That this worsened unemployment and blocked any chance for growth was simply denied by fiscal austerity hucksters like British prime minister David Cameron and U.S. budget hawk Paul Ryan. We’re all going to be Greece, they hysterically warned. Minus the sunshine. Krugman:
In reality, Britain and the United States, which borrow in their own currencies, were and are nothing like Greece. If you thought otherwise in 2010, by now year after year of incredibly low interest rates and low inflation should have convinced you. And the experience of Greece and other European countries that were forced into harsh austerity measures should also have convinced you that slashing spending in a depressed economy is a really bad idea if you can avoid it. This is true even in the supposed success stories Ireland, for example, is finally growing again, but it still has almost 11 percent unemployment, and twice that rate among young people
But does the academic scab louse not understand it was lack of financial discipline and unrestrained borrowing that got Greece, Portugal, Spain, Italy, Ireland, Cyprus and other debtor nations into trouble in the first place. Al little austerity when Krugman was screaming “Borrow, borrow, borrow, the good times will never end,” and they might not be in such trouble now.
The Debt Ponzi Deconstructed