Britain’s recovery remains at risk as Prime Minister David Cameron pushes on with budget cuts to reduce the deficit and unemployment near a 16-year high damps consumer spending. Nationwide Building Society’s index of consumer confidence fell in April, leaving the gauge more than 30 points below its average over the last decade.That's right. Austerity policies are a prime reason why the British economy is now in a double dip recession. Let's double-down on this policy.
After all, if we keep putting our hand on the stove, at some point -- according to quantum mechanical theory -- the molecules of our hand will line up in such a way that the fire will pass through, leaving us unharmed. Of course -- that will only occur after we've scorched our hand so badly it's no longer useful as an appendage .....
3 comments:
Indeed... tax and spend socialism cures all.
How long before we start hearing the mainstream media use the phrase "triple-dip"?
Government spending in Britain was higher in 2011 than in 2010 by the way. It's not like spending there is going down. Krugman says that doesn't matter, because it's just the spending on the "social safety net" that is going up. But the proof is in the pudding - spending is going UP. Now if he would have used tax hikes as an example of austerity, but he never wants to talk about that. Tax hikes on the rich is good for an economy, right ...hehe
I just find it amusing how the Keynesians say there are being "huge" cuts, when the reality is that spending continues to go up in most cases, and In find it even more amusing that when the growth of spending in some program is reduced, even by a small amount, keynesians call those "cuts" as well.
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