Courtesy of Mish.
Eurozone Breakup Coming
Telegraph writer Jeremy Warner moans Soon, There Won’t be a Europe to be Part Of.
“It’s not a question of in or out, but of whether Britain can avoid the flames of destruction,” says Warner.
On that I certainly agree. In general, Warner has the “what’s happening” part correct has but his synopsis of what to do about things is exactly the same tried-and-failed Keynesian and monetarist clatrap the Telegraph always sponsors.
Warner’s nonsense culminates with “It is an economic truth pretty much universally acknowledged that you cannot deflate your way out of a debt trap, yet it seems entirely lost on the eurozone high command.”
Europe is really attempting deflate? Really? In what alternate universe?
Debt Trap Nonsense
The entire notion there is such a thing as a “debt trap” is a Keynesian-sponsored fallacy.
The facts of the matter are simple:
- Central bank Monetarists in conjunction with Keynesian fiscal fools created the “debt problem” with absurd inflationary policies.
- Now that debt-bubbles have burst, Jeremy Warner, like his Telegraph counterpart, Ambrose Evans-Pritchard and multitudes of writers and academics, expect the same polices that created the debt problem to cure it!
Attempts to inflate out of alleged “debt traps” are nothing more than absurd can-kicking exercises that defy common sense. Japan is real-life proof.
Rise of the Eurosceptics …
