European Central Bank must heed eurozone warning signs | Business | guardian.co.uk

Countries using the Euro de jure Countries and...

Countries using the Euro de jure Countries and territories using the Euro de facto Countries in the EU not using the Euro (Photo credit: Wikipedia)

German Logo of the ECB.

German Logo of the ECB. (Photo credit: Wikipedia)

This is an excellent article from Larry Elliot, Economic Editor at the Guardian. It’s strongly recommended for a read. Check it out!

via European Central Bank must heed eurozone warning signs | Business | guardian.co.uk.

Here are Larry Elliot’s conclusions:

For the past three years, macroeconomic policy in the eurozone has been run on sadomasochistic principles: that only regular doses of pain will ensure countries stick to strict reform programmes.

The upshot of this policy is clear for all to see. Businesses that are starved of credit are mothballing investment and cutting their workforce. Weaker growth means higher-than-expected budget deficits. Permanent austerity has bred social dislocation and political extremism. A different approach is needed to save the eurozone from catastrophe – starting on Thursday.

Personally, I agree with Larry Elliot.

What do you think?

Are you still an austerian?

All view welcome!

Enhanced by Zemanta

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: