#ActInTimeDEADLINETime left to limit global warming to 1.5°C 4YRS110DAYS04:43:21 LIFELINEWorld's energy from renewables14.787884068%Finland's last active coal-fired power and heat plant shuts down | Repairing peats could prevent Glasgow's tap water turning brown | Community-based conservation cuts thresher shark fishing by 91% in Indonesia | Colombia creates landmark territory to protect uncontacted Indigenous groups | Britain’s GHG fell 4% in 2024, government data shows | Renewables made up more than 90% of new power installed globally in 2024 | Mali embraces solar power for rural areas | Agroforestry can help fight climate change | More European oil refineries to close, convert in next 10 years | European cities are designing streets to push cars out | Finland's last active coal-fired power and heat plant shuts down | Repairing peats could prevent Glasgow's tap water turning brown | Community-based conservation cuts thresher shark fishing by 91% in Indonesia | Colombia creates landmark territory to protect uncontacted Indigenous groups | Britain’s GHG fell 4% in 2024, government data shows | Renewables made up more than 90% of new power installed globally in 2024 | Mali embraces solar power for rural areas | Agroforestry can help fight climate change | More European oil refineries to close, convert in next 10 years | European cities are designing streets to push cars out |

Dec 13, 2012

The Krugman Speaks


Bleeding Europe

Europe has surprised me with its political resilience — the willingness of debtor nations to endure seemingly endless pain, the ability of the ECB to do just enough, at the very last minute, to calm markets when the financial situation seems ready to explode. But the economics of austerity have played out exactly according to script — the Keynesian script, that is, not the austerian script. Again and again, “responsible” technocrats induce their nations to accept the bitter austerity medicine; again and again, they fail to deliver results. The latest case in point is Italy, where Mario Monti — a good guy, deeply sincere — is leaving early, ultimately because his policies are delivering Italy into depression. (And yes, for the record, this means that Italy won’t get the full Monti.)
So what’s the answer? Stay the course, say the Eurocrats. It will work any day now — the confidence fairy is coming!
Kevin O’Rourke has it right: Europe has become the continent where good times are always just around the corner.
It really is like medieval medicine, where you bled patients to treat their ailments, and when the bleeding made them sicker, you bled them even more.
Labels: ,

No comments:

Post a Comment

Subscribe to: Post Comments (Atom)