What would America look like if Paul Ryan and the GOP were able to implement their brutal plans for the economy? While Republicans and American right-wingers often mock liberals for loving our allies across the Atlantic too much, a recent development has been overlooked. The new GOP call for austerity — slashing budgets at all costs — would merely copy the disastrous policies we’ve seen in Europe.
Let’s take a tour!
“In the U.K., we are seeing the results of monumental policy blunders that could well be repeated here if Republican budget hawks seize power next November.
During the past eighteen months, a callow and arrogant Chancellor of the Exchequer, empowered by a hands-off Prime Minister and backed by the bulk of the country’s financial and media establishment, has needlessly brought Britain to the brink of another recession by embracing draconian spending cuts that hark back to the early nineteen-thirties.” — The New Yorker
Attempts to cut government budgets have led to the elevation of the left-wing party Syriza (and even more terrifying growth in popularity by a neo-Nazi party), an unemployment rate over 20%, and increased fears that the Mediterranean country could kick off another crisis by leaving the Euro.
“Nearly a quarter of Spain’s population is unemployed. Half of its youth are out of work. And it’s only going to get worse. Spain is supposed to trim its deficit by some 5.5 percent of GDP over the next two years. That’s not a recipe for growth. Just ask the IMF, which downgraded its projections for Spain’s economy back in January.” — The Atlantic
Even slashing budgets — the Irish consume 12% less than they did five years ago — and winning praise from policymakers hasn’t been enough to reverse … bad debts and bad policy. “[W]e have done as we’re told and we’re still not really coming out of it,” said one businessman.