In his latest blog, Oxford economist, Simon Wren-Lewis, takes a hard look at the latest research evidence into the cost of austerity in Europe. The article plus the underlying research paper are STRONGLY RECOMMENDED if you are looking for hard data on the impact of austerity policies.
For the busy reader, let me cite Wren-Lewis’ overview:
That means that over 3 years nearly 10% of Eurozone GDP has been needlessly lost through mistakes in policy. This is not the wild claim of a mad macroeconomist, but what simple analysis backed up by mainstream models tell us.
Wren Lewis also looks at the impact on the UK, based upon OBR data but alludes to the risk that the OBR data may be under-stating the consequences for the UK.
Let me turn this to an open question:
Why are Europe’s political leaders and he mainstream media in such a hurry to whitewash the impact of austerity in Europe?
- Ken Rogoff on UK austerity – Simon Wren-Lewis – Mainly Macro (dralfoldman.com)
- Austerity, growth and being economical with the truth -Simon Wren-Lewis – Mainly Macro (dralfoldman.com)
- How much has UK austerity cost (so far)? Simon Wren-Lewis – Mainly Macro (dralfoldman.com)
- Why I am obsessed by austerity – Simon Wren-Lewis – Mainly Macro (dralfoldman.com)
- Left, Right and Centre: some recent observations – Simon Wren Lewis – Mainly Macro (dralfoldman.com)
- mainly macro: The MPC’s Forward Guidance – Simon Wren-Lewis (dralfoldman.com)
- Euroland’s ‘Recovery’ – Three Cheers for Dr Schäuble! – Georg Bibow – Social Journal Europe (dralfoldman.com)
- Will the UK Conservatives become like the Republican Party? – Simon Wren-Lewis – Mainly Macro (dralfoldman.com)
- The Centre Cannot Hold? – Simon Wren-Lewis – Mainly Macro (dralfoldman.com)