Did the UK get it wrong or did the US get it right? Maybe the two specialize in different markets that recover at different rates. link
More information on this subject. http://www.policymic.com/articles/7628/ron-paul-and-republicans-take-note-austerity-has-failed-britain-don-t-try-this-at-home
Nonsense. Other countries fall with us and rise with us. That's what your graph shows. The enormous amounts of govt spending here has the illusion of a stronger GDP. What it's really doing is setting us up for a really big fall the next time, and sooner than later.
Pretty much reflects traditional Keynesian economics. The US government did the right thing by spending a lot at the beginning of the recession. Britain, Ireland and much of Europe went on an austerity binge, cutting spending left and right. A "confidence fairy" was supposed to emerge, as European investors were supposed to somehow feel more confident in their economies as spending was slashed. Ireland was touted as The Next Big Thing. Here's how all that austerity has helped their unemployment rate: . Confidence never materialized. Instead, debt continues to climb as tax receipts evaporate because of rampant unemployment. Hopefully the US economy stabilizes and we then move on to cutting spending. The time to borrow is during the lean years. The time to reduce debt is during the wealthy years. It's a shame we had to waste the first 12 years of this millennium to learn this pretty obvious point.
Some people think that's true. Others disagree. You think we've learned that point? Not a chance. The spending will continue and expand if / when we get back to strong growth.
Obama first said that if we spend $800B in stimulus, unemployment would not go above 8% - it peaked at over 10%. Now Obama is bragging about job creation over the last 10 months - isn't it about 10 months since republicans took the house and stopped the reckless spending/keynesian agenda dead in its tracks? Read this: http://www.forbes.com/sites/michaelpollaro/2012/04/27/the-bernanke-bust-the-why-how-and-when/ And be afraid.
BTW, UK's govt. spending (their "feds") went from $426B (pounds) to $512B (pounds) from 2009-2011, an increase of 10% of their GDP. The UK also did 2 rounds of QE like the USA did.
So are these progressive keynesians really desperate to prove their right? Their facts don't stand up to scrutiny. UK has not been practicing austerity.
I'm well aware that you disregard context when posting. That's why we always see you post random plots, which you think prove something they don't because you ignore all context.
I disagree with your description of me. I do not think I ignore context to prove my point. I think I do not look for the rest of context.
Do I need to point out many, many threads started by you that are just a random plot, taken out of context to "prove" your bias? How about the thread you just started about how there will be a $1.3 billion rebate from Obamacare while ignoring the context, which is that the rebate is 0.6% of the cost?
