Europe s austerity drive is suicidal | Republikein.com.na
Vienna - Europe?s attempt to save its way back to health is tantamount to economic suicide that could wreck the euro currency block, Nobel Prize-winning U.S. economist Joseph Stiglitz said, calling for the continent to focus instead on fostering growth.
?Decreasing growth is causing the deficit, not the other way around. I think that austerity approach is going to lead to high levels of unemployment that will be politically unacceptable and make deficits get worse,? Stiglitz said.
He urged rich European countries like Germany to invest more in infrastructure, education and technology, arguing that ?the returns on those investments are an order of magnitude greater than the cost of capital?.
Insisting on cutting debt and deficits as the way to shore up confidence in euro zone countries, as agreed by the currency bloc?s leaders late last year, could end up having the opposite impact, indonesia aceh Stiglitz said.
?What they have agreed to do last December is a recipe to make sure that (the euro zone) dies as we know it,? he said, although he imagined a ?core euro? shared among a handful of countries with the strongest economies could survive.
EU vra waarborg oor privaatheid van VSA
Buitengewone groei maak GWM uniek
Toyota fokus op gesinspret met konsepmotor
Ongewone dinge na Mandela vernoem
BYVOEGSELS
Ons argief Kategorieë:
Vienna - Europe?s attempt to save its way back to health is tantamount to economic suicide that could wreck the euro currency block, Nobel Prize-winning U.S. economist Joseph Stiglitz said, calling for the continent to focus instead on fostering growth.
?Decreasing growth is causing the deficit, not the other way around. I think that austerity approach is going to lead to high levels of unemployment that will be politically unacceptable and make deficits get worse,? Stiglitz said.
He urged rich European countries like Germany to invest more in infrastructure, education and technology, arguing that ?the returns on those investments are an order of magnitude greater than the cost of capital?.
Insisting on cutting debt and deficits as the way to shore up confidence in euro zone countries, as agreed by the currency bloc?s leaders late last year, could end up having the opposite impact, indonesia aceh Stiglitz said.
?What they have agreed to do last December is a recipe to make sure that (the euro zone) dies as we know it,? he said, although he imagined a ?core euro? shared among a handful of countries with the strongest economies could survive.
EU vra waarborg oor privaatheid van VSA
Buitengewone groei maak GWM uniek
Toyota fokus op gesinspret met konsepmotor
Ongewone dinge na Mandela vernoem
BYVOEGSELS
Ons argief Kategorieë: