Wrong, as austerity cuts only add to the deficit/debt and contribute to high unemployment, erosion of safety net programs and the rich get richer. That last one is the reason we have the call for austerity cuts on a global scope. What is interesting to note, is that in the end, the rich suffer and lose in a big way. There will be though a very few (the ones we never hear about) that will walk away owning whole governments.
Ironic is to read where now Germany is feeling the pinch from the surrounding countries that they imposed austerity cuts, since now those same countries no longer have the money needed to buy what Germany exports. In fact in all cases, such as Portugal, where the government says on one hand, that since austerity cuts were implemented, there revenue has gone way down and it has added to the debt/deficit, they now say that what is needed is even greater austerity cuts and that will do the ‘trick’. Not sure about you, but that doesn’t exactly make sense, does it? Our own country is no better. Our president is set to repeat the mistake of 1936 when FDR and his GOP congress implemented austerity cuts and it sent us back into a deep depression. World war 2 came along and we got back out of what should not have happened. We don’t need a 3rd world war and we really don’t need to repeat the mistakes of 1936.
The other day I was reading a news article that said our country was imploring Europe not to continue with further austerity cuts, as then they don’t have the money to buy our ‘exports’. At the same time, our own government is set to throw our economy to the curb and implement austerity cuts designed to shrink our economy and at the same time leave the people (the true job-creators are you and I with money to spend) with no money to spend on what is offered for sale That then starts the domino effect of more job lay-offs and less revenue for the government and leaves us with a higher deficit/debt problem than before.
Why then is our government and the global market so eager to implement austerity cuts? It doesn’t help the people or the government in anyway, but it does allow the ‘global elite and global mega corporations’ to drain the global economies and governments dry and leave behind global depression and a slave population to further their economic gains.
Trouble is as history proves, eventually the very rich (except for those very few)lose everything and many times their lives (think the wall street suicides in 1929 or the French revolution when the rich literally lost their heads) and yet they will still proceed with their plans to destroy not only our country but the worlds economy.
Sometimes it feels like that in the present time. PEACE