Is Endless Austerity Such a Good Idea?

The sovereign debt crisis has already been discussed in Europe for quite some time, at least since 2009. Radically restricting government spending—austerity—is seen as the only solution for regaining the trust of the markets. Such a method (or “cure”) is a windfall for the ideological circles in Europe and North America that have been talking since the 1970s about the inevitability of restricting state expenditure and cutting back on “welfare state” policies (which has been difficult to do in democratic conditions).

 

This article was published in ICDS Diplomaatia magazine.