Blog Archives

How Austerity Has Failed


8715844701_9bbcd06d5a_b

Austerity has failed. It turned a nascent recovery into stagnation. That imposes huge and unnecessary costs, not just in the short run, but also in the long term: the costs of investments unmade, of businesses not started, of skills atrophied, and of hopes destroyed.

What is being done here in the UK and also in much of the eurozone is worse than a crime, it is a blunder. If policymakers listened to the arguments put forward by our opponents, the picture, already dark, would become still darker.

How Austerity Aborted Recovery

Austerity came to Europe in the first half of 2010, with the Greek crisis, the coalition government in the UK, and above all, in June of that year, the Toronto summit of the group of twenty leading countries. This meeting prematurely reversed the successful stimulus launched at the previous summits and declared, roundly, that “advanced economies have committed to fiscal plans that will at least halve deficits by 2013.”

This was clearly an attempt at austerity, which I define as a reduction in the structural, or cyclically adjusted, fiscal balance—i.e., the budget deficit or surplus that would exist after adjustments are made for the ups and downs of the business cycle. It was an attempt prematurely and unwisely made. The cuts in these structural deficits, a mix of tax increases and government spending cuts between 2010 and 2013, will be around 11.8 percent of potential GDP in Greece, 6.1 percent in Portugal, 3.5 percent in Spain, and 3.4 percent in Italy. One might argue that these countries have had little choice. But the UK did, yet its cut in the structural deficit over these three years will be 4.3 percent of GDP.

What was the consequence? In a word, “dire.”

In 2010, as a result of heroic interventions by the monetary and fiscal authorities, many countries hit by the crisis enjoyed surprisingly good recoveries from the “great recession” of 2008–2009. This then stopped (see figure 1). The International Monetary Fund now thinks, perhaps optimistically, that the British economy will expand by 1.8 percent between 2010 and 2013. But it expanded by 1.8 percent between 2009 and 2010 alone. The economy has now stagnated for almost three years. Even if the IMF is right about a recovery this year, it will be 2015 before the economy reaches the size it was before the crisis began.

The picture in the eurozone is worse: its economy expanded by 2 percent between 2009 and 2010. It is now forecast to expand by a mere 0.4 percent between 2010 and 2013. Austerity has put the crisis-hit countries through a wringer, with huge and ongoing recessions. Rates of unemployment are more than a quarter of the labor force in Greece and Spain (see figure 2).

When the economies of many neighboring countries contract simultaneously, the impact is far worse since one country’s reduced spending on imports is another country’s reduced export demand. This is why the concerted decision to retrench was a huge mistake. It aborted the recovery, undermining confidence in our economy and causing long-term damage.

Why Fiscal Policy

Why is strong fiscal support needed after a financial crisis? The answer for the crisis of recent years is that, with the credit system damaged and asset prices falling, short-term interest rates quickly fell to the lower boundary—that is, they were cut to nearly zero. Today, the highest interest rate offered by any of the four most important central banks is half a percent. Used in conjunction with monetary policy, aggressive and well-designed fiscal stimulus is the most effective response to the huge decrease in spending by individuals as they try to save money in order to pay down debt. This desire for higher savings is the salient characteristic of the post–financial crisis economy, which now characterizes the US, Europe, and Japan. Together these three still make up more than 50 percent of the world economy.

Of course, some think that neither monetary nor fiscal policy should be used. Instead, they argue, we should “liquidate labor, liquidate stocks, liquidate the farmers, liquidate real estate.” In other words, sell everything until they reach a rock-bottom price at which point, supposedly, the economy will readjust and spending and investing will resume. That, according to Herbert Hoover, was the advice he received from Andrew Mellon, the Treasury secretary, as America plunged into the Great Depression. Mellon thought government should do nothing. This advice manages to be both stupid and wicked. Stupid, because following it would almost certainly lead to a depression across the advanced world. Wicked, because of the misery that would follow.

Austerity in the Eurozone

Some will insist that the eurozone countries had no alternative: they had to retrench.

This is true in the sense that members have limited sovereignty, wed as they are to a single currency, and had to adapt to the dysfunctional eurozone policy regime. Yet it did not have to be this way.

1. The creditor countries, particularly Germany, could have recognized that they were enjoying incredibly low interest rates on their own public debt partly because of the crises in the vulnerable countries. They could have shared some of this windfall they enjoyed with those under pressure.

2. The needed adjustment could have been made far more symmetrical, with strong action in creditor countries to expand demand.

3. The European Central Bank could have offered two years earlier the kind of open-ended support for debt of hard-pressed countries that it made available in the summer of 2012.

4. The funds made available to cushion the crisis could have been substantially larger.

5. The emphasis could then have been more on structural reforms, such as easing labor regulations and union protections that restrain hiring and firing and raise labor costs, and less on fiscal retrenchment in the form of reduced spending. Reduced labor costs could have made these nations’ export industries more competitive and encouraged domestic hiring.

It is possible to admit all this and yet argue that without deep slumps, the necessary pressure for adjustment in labor costs that is inherent in the adoption of a single currency (which is a modern version of the gold-standard-type mechanism that once ruled the advanced nations and helped bring on the Great Depression) would not have existed.

This, too, is in general not true.

1. In Greece, Ireland, Portugal, and Spain, at least, the private sector was in such a deep crisis that additional downward pressure as a result of rapid fiscal retrenchment simply added insult—and more unemployment—to deep injury.

2. In Italy, the pressure from years of semi-stagnation, with many more to come, would probably have been sufficient to restructure the labor markets, to bring about lower labor costs, provided structural reforms of the labor market were carried out, measures allowing companies to reduce their workforces and adjust wages more easily.

In short, the scale of the austerity was unnecessary and ill-timed. This is now widely admitted.

Austerity in the UK

The UK certainly did have alternatives—a host of them. It could have chosen from a wide range of different fiscal policies. The government could, for example, have:

1. Increased public investment, rather than halving it (initially decided by Labour), when it enjoyed zero real interest rates on long-term borrowing.

2. It could have cut taxes.

3. It could have slowed the pace of reduction in current spending.

It could, in brief, have preserved more freedom to respond to the exceptional circumstances it confronted.

Why did the government not do so?

1. It believed, and was advised to believe, that monetary policy alone could do the job. But monetary policy is hard to calibrate when interest rates are already so low (at or close to zero) and potentially damaging particularly in the form of asset bubbles. Fiscal policy is not only more direct, but it can also be more easily calibrated and, when the time comes, more easily reversed.

2. The government believed that its fiscal plans gave it credibility and so would deliver lower long-term interest rates. But what determines long-term interest rates for a sovereign country with a floating exchange rate is the expected future short-term interest rates. These rates are determined by the state of the economy, not that of the public finances. In the emergency budget of June 2010, the cumulative net borrowing of the public sector between 2011 and 2015–2016 had been forecast to be £322 billion; in the June 2013 budget, this borrowing is forecast at £539.4 billion, that is, 68 percent more. Has this failure destroyed confidence and so raised long-term interest rates on government bonds? No.

3. It believed that high government deficits would crowd out private spending—that is, the need of the government to borrow would leave less room for private borrowing. But after a huge financial crisis, there is no such crowding out because private firms are reluctant to invest, and consumers are reluctant to spend, in a weak economic environment.

4. It argued that the UK had too much debt. But the UK government started the crisis with close to its lowest net public debt relative to gross domestic product in three hundred years. It still has a debt ratio much lower than its long-term historical average (which is about 110 percent of GDP).

5. The government argued that the UK could not afford additional debt. But that, of course, depends on the cost of debt. When debt is as cheap as it is today, the UK can hardly afford not to borrow. It is impossible to believe that the country cannot find public investments—the cautious IMF itself urges more spending on infrastructure—that will generate positive real returns. Indeed, with real interest rates negative, borrowing is close to a “free lunch.”

6. The government now believes that the UK has very little excess capacity. But even the most pessimistic analysts believe it has some. Of course, the right policy would address both demand and supply, together. But I, for one, cannot accept that the UK is fated to produce 16 percent less than its pre-crisis trend of growth suggested. Yes, some of that output was exaggerated. There is no reason to believe so much was.

Assessment of Austerity

We, on this side of the argument, are certainly not stating that premature austerity is the only reason for weak economies: the financial crisis, the subsequent end of the era of easy credit, and the adverse shocks are crucial. But austerity has made it far more difficult than it needed to be to deal with these shocks.

The right approach to a crisis of this kind is to use everything: policies that strengthen the banking system; policies that increase private sector incentives to invest; expansionary monetary policies; and, last but not least, the government’s capacity to borrow and spend.

Failing to do this, in the UK, or failing to make this possible, in the eurozone, has helped cause a lamentably weak recovery that is very likely to leave long-lasting scars. It was a huge mistake. It is not too late to change course.

via How Austerity Has Failed by Martin Wolf | The New York Review of Books.

Does austerity promote economic growth?


The IMF and others impose austerity measures on government to pay down their debt and to increase investor confidence in countries. The result over the longer term is supposed to be increased investor confidence, a more competitive economy for the country and hence economic growth. But is the empirical evidence or even theory supportive of this viewpoint?

First in terms of what one would expect in theory. Austerity would be expected to decrease demand but if there is decreased demand then less production is needed to fill that demand. Therefore other things being equal austerity would tend to decrease production rather than increase it.

Harvard economist Alberto Alesina shows that government debt reduction by expenditure cuts and tax increases does not always have negative effects. However an IMF study of 17 countries that implemented austerity plans in the last 30 years showed that debt reduction plans that were intended to reduce debt and lead to prosperity on the whole did not do so. Some of the positive results in the earlier study were cases where the aim of austerity was sometimes to cool down an overheated economy and this was often successful with growth continuing but at a less heated rate.

The overall findings of the IMF study of austerity policies designed to reduce debt were that consumption expenditure declined and the economy was weaker. This is what one would expect. Greece is a good empirical example of where this is happening with the country actually going into a recession. Some critics question the results but nevertheless the empirical data give at least some support to critics of austerity programs who claim that stimulus rather than austerity is the more sensible policy over the short term to help an economy grow and produce more revenues to then pay down debt. For more see this article.

Given that the IMF’s own study shows that their  policies reduce economic growth why would they continue to recommend them. Because these policies do please investors. They weaken labor and lower labor costs. The point is not to grow the economy but to increase the power of capital over labor. The policies do that. Economic growth per se is not the aim but growth in profits. In the longer term after labor is crushed, pension benefits eroded, the safety net mostly gone, then as the theory has it the country will be more competitive, Perhaps investors may return. Of course many workers may have long ago migrated to areas with better prospects. Ireland apparently is already seeing renewed emigration as the boom there has given way to austerity.

via kenthink: Does austerity promote economic growth?.

Austerity News From around the World


13Uusterity 7

 

In our greed for ideology, we gorged on light-touch regulation


Irish Examiner
But there’s a problem with austerity. It dawned on me recently that I admire austerity. Some of my life-long heroes were austere. But they practised austerity, they didn’t impose it. When there isn’t a true, genuine, shared austerity, for a higher 
See all stories on this topic »

Ireland : No more austerity ( and dump the euro )
Forbes
Today, my wife and I are traveling to Ireland to visit the town where my grandfather grew up (and maybe have a beer or two–if we survive my driving!). The economy there presents a sad case study for the austerity programs being forced on economies 
See all stories on this topic »

 

An end to austerity will not boost Europe
Financial Times
The eurozone periphery is on a risky path to end fiscal austerity and accept larger budget deficits. Portugal is the most recent dramatic shift in that direction; Italy, Spain and even France are also abandoning plans to cut spending and raise taxes 
See all stories on this topic »

Civilians on unpaid leave in Pentagon austerity move
Reuters
WASHINGTON, July 8 (Reuters) – Civilian defense workers across the United States began taking unpaid leave on Monday in a Pentagon-imposed austerity move expected to save $1.8 billion through Sept. 30 by effectively cutting the pay of about 650,000 
See all stories on this topic »
Greek municipal workers riled by government’s austerity plans
Globe and Mail
Greek municipal workers riled by government’s austerity plans Add to … The Globe and Mail. Published Monday, Jul. 08 2013, 3:01 PM EDT. Last updated Monday, Jul. 08 2013, 3:28 PM EDT. Oops, something bad just happened, don’t worry, I’m sure it is our 
See all stories on this topic »
‘Maariv’ management says paper won’t print
Jerusalem Post
The management of Hebrew daily Maariv announced Monday that the newspaper would not be printed for Tuesday morning, due to austerity measures. Employees were reportedly instructed to stop work on the current edition, but they instead decided to take 
See all stories on this topic »
IMF, smokescreens and visions
The Express Tribune
There is nothing home-grown about the IMF austerity packages, which have delivered little in Europe or elsewhere. But, at least, the IMF has a vision. Some economist like Joe Stiglitz view it as immune to evidence and that is why they dub this vision 
See all stories on this topic »
Portugal back from the brink, but risks loom
Sydney Morning Herald
The rift was all about the austerity that Portugal is being forced to carry out in exchange for its bailout from the troika of European Union, International Monetary Fund and European Central Bank. Vitor Gaspar, who was an architect of the cutbacks 
See all stories on this topic »
Has Xi’s graft crackdown run out of steam?
South China Morning Post
President Xi Jinping has consulted retired party leaders on his anti-corruption and austeritycampaign, the Communist Party’s official newspaper reported on Monday – a move some analysts believe is a sign that the current leadership lacks the 
See all stories on this topic »

UAE royals eschew wedding feasts to set example of austerity
Financial Times
As Muslims across the region prepare for the start of the annual month-long Ramadan fast this week, the message is going out strongly from Gulf royals, mosques and the street that – theoretically at least – waste is out and austerity is in. It is a 
See all stories on this topic »

Indonesia: Draconian austerity amidst impressive economic growth
In Defense of Marxism
The fuel price increase in Indonesia is part of the capitalist austerity which is now being implemented all over the world. The capitalist crisis that exploded in 2007 has not subsided. On the contrary, it is getting deeper. For the capitalists, there 
See all stories on this topic »

Georgiades Says Cyprus Making ‘Good Progress’ Before Aid Review
Businessweek
Cypriot Finance Minister Haris Georgiades expressed optimism about the first review later this month of the government’s progress in meeting budget-austerity conditions tied to the international rescue of the country. “We are doing good progress 
See all stories on this topic »

Austerity Discredited, Not Defeated – Time to Fight for Jobs and Growth

Truth-Out
Cracked bank (Image: Cracked bank via Shutterstock)For four long years after the recession officially ended, conservative austerity policies have sabotaged America‘s economic recovery, condemning millions of Americans to unemployment and poverty.
See all stories on this topic »

Fighting Austerity

Socialist Project
Dan Gallin is Chair of the Global Labour Institute (www.global-labour.org), a labour service organization established in 1997 with a secretariat in Geneva. This is his speech at a conference co-organized by the GLI, Fighting Austerity: Rebuilding 
See all stories on this topic »

 

Athens mayor ‘physically attacked’ over job cuts

RT (blog)
The incident happened as the mayor was leaving a Confederation of Greek Municipalities (KEDE) meeting, where he held discussions about the austerity measures and the way they affect thousands of municipal employees. According to reports, he was 
See all stories on this topic »

 

Portugal general strike rejects austerity

Workers World
To satisfy a stringent austerity program, the government has cut social security, health care, education and other benefits, and reduced workers’ job security. The Portuguese working class answered these conditions with a political general strike on 
See all stories on this topic »

Austerity- Poverty Problems: Brits turn to food banks amid austerity & economic downturn


Austerity Discredited, Not Defeated. Time to Fight for Jobs and Growth.
Huffington Post
For four long years after the recession officially ended, conservative austerity policies have sabotaged America‘s economic recovery, condemning millions of Americans to unemployment and poverty. And in Europe, the same policy regime of spending cuts 
See all stories on this topic »

Poverty Problems: Brits turn to food banks amid austerity & economic downturn

RT

Increasing numbers of Britons are heading to food banks to satisfy their hunger. But the Work and Pensions minister claims half-a-million UK people just want to have their bellies filled for free, and denies a link between the rise in food banks and See all stories on this topic »

Portugal disabled by euro straitjacket

Financial Times
Sadly, Portugal’s disappointing economic growth experience with budget austerity and economic reform within a euro straitjacket has been shared by the rest of the European economic periphery. Indeed, even in Ireland, the poster child for the 
See all stories on this topic »

 

Taxpayers oblivious to the cost of farm subsidies

Globe and Mail
They preach government austerity, then hand out $50,000-plus bonuses to deputy ministers. They talk about openness but practise secrecy. And they tout Senate reform while tolerating entitlement. It also turns out the Conservatives haven’t been 
See all stories on this topic »

Should US take lessons from Germany on fiscal austerity?

Economic Times
Keynesian stimulus proponents argued that temporary tax cuts and additional government spending would bolster hiring. Austerity advocates countered that additional government spending would merely displace private spending and that we already had too 
See all stories on this topic »

 

11 Signs That Italy Is Descending Into A Full-Blown Economic Depression

Men’s News Daily
Harsh austerity measures are causing the Italian economy to slow down even more than it was previously. And yet even with all of the austerity measures, the Italian government just continues to rack up even more debt. This is the exact same path that 
See all stories on this topic »

 

Portugal’s crisis shows that our problems haven’t gone away
Irish Independent
A second conclusion is that, while the Irish edifice may not be solid brick, it is of durable construction. Not a lot of people seem to know this, but the Irish austerity programme was less severe than that imposed on Greece and Portugal. In addition 
See all stories on this topic »

Austerity Today- Austerity Won’t Work if the Roof Is Leaking


8717015554_868f317700_b

 Austerity Won’t Work if the Roof Is Leaking


New York Times
Hasn’t Germany been one of the most outspoken advocates of fiscal austerity after the financial crisis? Yes, and that’s not a contradiction. Fiscally responsible businesses routinely borrow to invest, and so, until recently, did most governments 
See all stories on this topic »

 

Anxious, austerity-minded, but worldly: the young Britons of Generation A
The Guardian
This is Generation Y, born between the 1980s and the millennium, hammered by the recession andausterity. Generation Y faces more years of financial slowdown, but what is to become of the cohort following in its footsteps, arguably moving through an 
See all stories on this topic »

 

Labour and the Tories’ woes show our political system is breaking apart
New Statesman
On the other side of the political aisle, activists from the People’s Assembly Against Austerity don’t think much of Labour either. One of their luminaries, PCS general secretary Mark Serwotka, spelled out why in his Staggers piece last week, berating 
See all stories on this topic »

 

Potential Mistakes (Wonkish)
New York Times (blog)
Understating output gaps leads to excessive demands for austerity and excessive complacency at central banks; this perpetuates the depression; and the longer the depression goes on, the more misleading the standard estimates become. So it’s good news 
See all stories on this topic »

 

Municipal workers protest in Greece over government layoff plans
Press TV
Greece has been at the epicenter of the eurozone debt crisis and is experiencing its fifth year of recession, while harsh austerity measures have left about half a million people without jobs.” Greek municipal employees have held demonstrations against 
See all stories on this topic »

Calls for a 5pc rise in welfare cash for our poorest OAPs
Herald.ie
Age Action Ireland says the cumulative impact of a series of austerity budgets is having a devastating impact on our senior citizens. The advocacy group has pleaded with the Government, particularly Social Protection Minister Joan Burton, to include a 
See all stories on this topic »

 

Bulgaria’s president calls for early elections amid mass anti-government protests
The Province
The government of Prime Minister Plamen Oresharski took office after the May 12 early elections following the resignation of his predecessor Boiko Borisov amid antiausterity protests. The appointment of controversial media mogul Delyan Peevski as head 
See all stories on this topic »

Teen ‘lying on the road for an hour’ in wait for ambulance
Irish Independent
AUSTERITY measures are to blame for leaving a 14-year-old girl lying on the road awaiting an ambulance for more than an hour, the union representing HSE ambulance drivers claims. Also in this section. Robinson at festival · Dissident arms haul is 
See all stories on this topic »
Social Justice Ireland wants Govt to increase pension payments
Irish Examiner
Cuts to income and services have left pensioners at breaking point, it was claimed today. Age Action warned Government that the cumulative impact of multiple austerity budgets was having a severely damaging effect on the most vulnerable of older people.
See all stories on this topic »

 

The withering of America’s exception agriculturelle
Financial Times
Lacking the money for a proper stimulus and the time to wait for the healing power of austerity, Europe’s leaders have pinned their economic hopes on trade with the US. Negotiations on the proposed transatlantic trade and investment partnership, which 
See all stories on this topic »
Ipsa: MPs’ role in our democracy ‘should be recognised’
Telegraph.co.uk
Independent Parliamentary Standards Authority (Ipsa) chairman Sir Ian Kennedy admitted that theausterity being felt by the country made its review of MPs’ salaries and pensions tougher, but said that the role MPs play in a democratic system means they 
See all stories on this topic »
China: luxury dining goes mid market
Financial Times (registration) (blog)
There is plenty of room for skepticism about whether Beijing’s latest austerity drive will have any lasting impact on the per capita consumption of Lamborghinis by government officials. But in one area it clearly has had a marked effect: luxury dining.
See all stories on this topic »
Italian austerity drive forces Vatican to pay more property tax
BusinessGhana
More ». Italian austerity drive forces Vatican to pay more property tax. News Date: 5th July 2013. The Vatican said Thursday it had to pay an extra 5 million euros (6.5 million dollars) in property tax last year as a result of austerity measures 
See all stories on this topic »

Austerity Today- A summer of discontent for Europe?


4austerity 4

A summer of discontent for Europe?


BBC News
The economies of many eurozone countries remain fragile, with high unemployment and austeritymeasures causing public anger. So could Europe be set for a new financial crisis and will the continent suffer a summer of discontent? Bill Blaine is a 
See all stories on this topic »

A socialist program against war, austerity and the drive to dictatorship

World Socialist Web Site
The financial and corporate elite was demanding the junking of the post-financial crisis stimulus spending measures associated with Rudd, and the implementation of austerity measures aimed at slashing the living standards of the working class. At the 
See all stories on this topic »

Multiple austerity budgets ‘damaging most vulnerable elderly people’
Irish Examiner
A pre-Budget forum at Dublin Castle will hear today how the cumulative impact of multiple austeritybudgets is having a severely damaging effect on the most vulnerable of older people. More than 30 organisations, including Age Action, St. Vincent De 
See all stories on this topic »

Amartya Sen: The taste of true freedom
The Independent
Now, he calls the UK Coalition’s austerity programme “an intellectual failure”. “Is there anything surprising in that it failed? Should a well-educated economist have been able to anticipate that? Yes. One doesn’t have to be a Keynesian to see it. My 
See all stories on this topic »

Campaign groups join in Lisbon anti-government rallies
The Portugal News
Various anti-austerity campaign groups have added their voices to that of Portugal’s largest trades union federation, the communist-linked CGTP, in calling for a demonstration outside the presidential palace on Saturday, to demand an end to the current 
See all stories on this topic »

5 Reasons Why Cyprus Should Leave the Euro
Yahoo! Finance (blog)
Reason 1: Severe budget austerity will not work: Cyprus is hardly the first European country to have been required to sign up to severe budget austerity in return for IMF-EU bailout funds. Greece, Ireland, and Portugal have all preceded Cyprus down 
See all stories on this topic »

Older people ‘at breaking point’

Irish Health
Older people are reaching ‘breaking point’ as a result of the austerity measures they have had to withstand in recent years, Age Action Ireland (AAI) has warned. According to the national charity, the effect of cuts in services combined with rising 
See all stories on this topic »

Fears austerity is being ‘pushed too far’ after Suffolk County Council underspend
Bury Free Press
County council leaders have been accused of ‘pushing austerity too far’ following an underspend of more than £3.5 million last year. The Conservative controlled Suffolk County Council made about £26.19 million in budget cuts for 2012/13 with further 
See all stories on this topic »

BARRIE GRUNEWALD: Austerity? It isn’t working
St Helens Today
THE government’s spending review for 2015/16 last week provides clear evidence that their austerityprogramme just isn’t working. Since the 2010 election the Chancellor George Osbourne has argued that the tough spending cuts would lead to economic 
See all stories on this topic »
MP Andrew George’s weekly column – July 4, 2013
This is Cornwall
In a time of stress and austerity, community celebrations become more, rather than less, important. After all, what would we do if our lives just continued with routine and mundane sameness, with no light relief or anything to look forward to; with no 
See all stories on this topic »
Austerity cuts ‘hitting pensioners’
Belfast Telegraph
Age Action warned the Government that the cumulative impact of multiple austerity budgets was having a severely damaging effect on the most vulnerable of older people. Think tank Social Justice Ireland also called for the poorest pensioners to be given 
See all stories on this topic »

IMF Sees Bulgarian Risk in Unstable Government, Euro Area
Businessweek
The Cabinet of Prime Minister Plamen Oresharski took office on May 29 after antiausterity protestsforced out his predecessor, Boyko Borissov, leading to a May 12 snap election. An appointment of controversial media and business executive Delyan 
See all stories on this topic »

FINANCIAL TIMES: Portugal needs new model
BDlive
Yet a deeper and more drawn-out recession than expected has weakened that consensus just as Portugal prepares for the most difficult phase of its austerity regime ahead of the scheduled exit next summer. This would require more cuts to the size of the 
See all stories on this topic »
Fresh Eurozone fears over Portugal’s ‘unsustainable’ debt
The Week UK
In May, a fresh package of austerity measures increased the working week of civil servants from 35 to 40 hours and reduced the workforce by 30,000. In response, workers staged a number of demonstrations last month and unions organised a general strike.
See all stories on this topic »
UK strikes dip to lowest level since 2005
Financial Times
Britain lost only 248,800 working days through strikes last year, the lowest since 2005, as public sector protests against the coalition’s austerity measures faded. The figure published by the Office for National Statistics on Thursday is down from 1 
See all stories on this topic »

xxx

Austerity Today


8716972088_c2cb095907_b

Protesters, upset over school closings and austerity cuts, march to Mayor 

Chicago Sun-Times
If the mayor was home on the Fourth of July, he’d look out to see hundreds in front of his home, holding signs that read “#onetermmayor” and calling austerity a reason for some of the city’s biggest problems. Dubbed a fight against austerity, the group 
See all stories on this topic »

Arbitrary austerity fuels organised crime in Europe


The Conversation
Until the 1990s, Europeans viewed themselves to be generally unaffected by the activities of organised crime, with the notable exception of Italy and, to a minor extent, Germany. But now, Europol’s recently published European Union Serious and 
See all stories on this topic »

Will the age of austerity harm health?


BBC News
Sandwell, like many areas that were heavily reliant on manufacturing, was hit hard by the recession of the 1980s. Unemployment rose steeply and poverty increased. In some respects, the area has never recovered. The West Midlands borough is now the 
See all stories on this topic »

End to era of austerity budgets within ‘touching distance’, claims Michael Noonan
Irish Times
Ireland is within “touching distance” of no longer having to frame annual austerity budgets, Minister of Finance Michael Noonan has told members of the financial services industry. “We have a difficult budget coming up in October,” said Mr Noonan 
See all stories on this topic »

 

An Autogestión Alternative to Austerity: Occupy, Resist, Produce!

Truth-Out
An Autogestión Alternative to Austerity: Occupy, Resist, Produce! Austerity policies continue to deliver pain to populations the world over, but shifts toward democratic self-direction deliver much-needed hope. Home · News · Opinion · Video · Art 
See all stories on this topic »

Portuguese coalition holds together

SBS
Portugal’s PM Pedro Passos Coelho says the coalition has found “a formula” that secures its survival after fears it would break up over austerity policies. Portugal’s centre-right government coalition has averted its break-up in a dispute over 
See all stories on this topic »

 

Greek Salaries Cut Another 10%
Greek Reporter
The austerity measures have also worsened a six-year recession and created a record 27.4 percent unemployment rate and put 1.3 million people – all in the private sector – out of work. Until Samaras shut down the national broadcaster ERT on June 11 and 
See all stories on this topic »

 

 

Portugal: A bitter pill too far?

Deutsche Welle
Those tensions reached a temporary climax this week when two top government officials resigned in Portugal. The architect of the country’s austerity, Finance Minister Vitor Gaspar, stepped down. He cited public backlash against his policies. Less than 
See all stories on this topic »

 

Spanish downturn a disaster for green energy
BusinessWorld Online Edition
MADRID — Spain’s wind turbine manufacturers are laying off workers and farmers who installed solar panels are facing ruin as austerity policies afflict the long-coddled green energy sector. Wind turbines in La Veleta wind park, in Monasterio de 
See all stories on this topic »
 
Lisbon finds formula to avert collapse
The Times (subscription)
Portugal’s centre-right coalition Government last night averted its collapse in a row over austeritypolicies after striking a deal which will reassure eurozone partners that a second financial rescue will not be needed for the bailed out nation. “A 
See all stories on this topic »
 
Portugal Government Lives, as Does Crisis
Wall Street Journal
Mr. Portas’ resignation Tuesday in protest over the strict application of austerity demands by the country’s international bailout lenders “was a personal decision,” Mr. Passos Coelho said. He added that Mr. Portas had told him he was committed to 
See all stories on this topic »
 
International financial news
The Daily Telegraph
LISBON – Portugal’s leaders are fighting to prevent a collapse of the coalition government in a dispute over austerity policies squeezing the bailed-out nation. LONDON – The Bank of England has hinted that it is unlikely to lift record-low borrowing 
See all stories on this topic »

Ireland’s Coalition Seen Secure Despite Lawmakers’ Revolt
Wall Street Journal
The coalition is preparing to detail in October more painful spending cuts and tax increases for its 2014 austerity budget to meet the conditions of the bailout Ireland struck with the European Union and International Monetary Fund in late 2010. The 
See all stories on this topic »

Portugal on brink of collapse sparking fears the country will not be able to 
Daily Mail
Portugal’s financial markets nosedived today amid fears that repayments on its £64billion bailout could soon become unsustainable as the government looked set to collapse following a spat over the country’s austerity programme. Share prices dropped by 
See all stories on this topic »
Passos Coelho: I will not go
Morning Star Online
Mr Gaspar said he lacked public support for the austerity programme the PM had brought him in to carry out. Mr Portas, who has demanded greater emphasis on growth measures, said he could not accept Mr Gaspar’s replacement, former junior finance 
See all stories on this topic »
Corporations Pay Lower Tax Rates Than The Middle Class
ThinkProgress
Simply put, “austerity fatigue” has the government that’s enforced steep cuts to public services on the brink of collapse. After the minister in charge of austerity plans resigned Monday, Prime Minister Pedro Passos Coelho appointed a replacement who …
See all stories on this topic »
 
Portugal: The Price of Austerity
Council on Foreign Relations (blog)
The leader of the junior coalition partner CDS-PP resigned yesterday, complaining that the new Finance Minister (Maria Luís Albuquerque, replacing Vítor Gaspar who resigned Monday) represented a “mere continuity” of failed austerity policies. While it 
See all stories on this topic »
 
Greece pressed on austerity
Investor’s Business Daily
The next 8.1 bil euro bailout installment may be broken into smaller payments, the top eurozone finance minister said, as lenders push Athens to meet demands for economic reforms and gov’t job cuts. Greece doesn’t need the full payment at once, and …
See all stories on this topic »
Political turmoil rattles Europe’s fragile economies
Globe and Mail
 past several months. Political instability in Portugal, combined with troubles in Greece and Italy, raise the prospect of an austerity backlash, rather than the gaping budget deficits that have been a hallmark of the debt crisis in the 17-member 
See all stories on this topic »
 
 

Austerity Today -Economic recovery ‘will take 20 years’


8493946037_71ae2a48c3_b

Economic recovery ‘will take 20 years’, warns Britain’s top civil servant


Daily Mail
Cabinet Secretary Sir Jeremy Heywood said the austerity drive has not gone far enough and stressed it will continue for decades. He said there was a ‘very long way to go’ before the economy returns to the same level as before the 2007 recession. ‘This 
See all stories on this topic »

Portugal’s Coalition Splinters on Austerity Fatigue: Euro Credit
Bloomberg
Portuguese borrowing costs topped 7 percent for the first time this year after two ministers quit, signaling the government will struggle to implement further budget cuts as its bailout program enters its final 12 months. Secretary of State for 
See all stories on this topic »
NEWS ANALYSIS: Doubts as Portugal’s austerity plan changes hands
BDlive
THE resignation of the main architect of Portugal’s austerity policies has sparked concern over the country’s ability to complete its European Union (EU)International Monetary Fund (IMF) bail-out programme. Analysts say the departure on Monday of 
See all stories on this topic »
Andrew Palmer: Austerity opens the door to new kind of regeneration
Yorkshire Post
WHEN most of us think of “regeneration”, we picture large, government-backed programmes to revitalise rundown areas – the waterfront in Hull, for example, or the Leeds riverfront. What we face now, though, is a new economic reality which means these 
See all stories on this topic »
Redesigning for austerity – but politics get in the way
Public Service
And the director who saw the storm coming and had a plan jumped ship and now heads health commissioning – from which position he could be better placed to redesign for austerity. Blair McPherson is author of ‘Equipping managers for an uncertain future 
See all stories on this topic »
Feeling the pinch in austerity-hit Portugal
BBC News
The resignation of two key ministers has left many questioning whether Portugal’s right-of-centre government, which has enthusiastically embraced austerity measures, can survive much longer. But in a statement to the nation on Tuesday night, Prime 
See all stories on this topic »
Portuguese government at risk of collapse over austerity
EUobserver.com
Gaspar, whose replacement, Maria Luis Albuquerque starts work on Wednesday (3 July), identified increasing public disaffection with the government’s austerity drive as the reason for his resignation. But Albuquerque, who has been promoted from treasury 
See all stories on this topic »
EU to ease deficit rules to allow some investments: Barroso
Hindu Business Line
The decision comes amid a wider debate over the austerity-driven policies used to tackle the EU’s economic crisis, as the worst-affected countries and left-wing parties argue that austerity is throttling growth and failing to tackle soaring unemployment.
See all stories on this topic »
London midday: Stocks hit by political uncertainty, economic data
ShareCast
Resignations of both the Portuguese Finance Minister and Foreign Minister over the last few days have sparked concerns all over the Eurozone, as anti-austerity rallies gather support. Portugal’s 10-year bond yields have now surged above 8.0% for the 
See all stories on this topic »
The Socialist 3 July 2013 Tories – cuts, Lib Dems – cuts, Labour – cuts
Socialist Party
And when Tory Chancellor George Osborne announced another £11.5 billion in cuts and extendingausterity past the next general election, rather than saying ‘we will tear up this spending review if we win power’, Labour promised to abide by it. These 
See all stories on this topic »
European Stocks Tumble; Portugal’s Political Woes Weigh
Wall Street Journal
European stocks opened sharply lower Wednesday as a mounting political crisis in Portugal sparked worries over whether the country would be able to continue the austerity measures dictated by its acceptance of an international bailout two years ago.
See all stories on this topic »
Portuguese Uncertainty Knocks The Euro
Wall Street Journal
Portugal’s government was thrown into turmoil Tuesday when Foreign Minister Paulo Portas followed Finance Minister Vitor Gaspar’s lead and resigned in protest over the country’s austerity policies, increasing the uncertainty over the future of the 
See all stories on this topic »
New warehouses hit Ocado profits
Belfast Telegraph
Slashing Eurozone austerity could boost growth: report new. Cutting back on austerity across the eurozone would boost growth by 1% next year, consultants Ernst & Young has forecast. Smith brothers sell e-tee website BRS Golf new. Two brothers from 
See all stories on this topic »
Portuguese markets in turmoil on gov’t confusion
Montana Standard
Portugal’s financial markets are in turmoil amid growing concerns over the future of the country’s coalition government and its ability to pursue the austerity measures demanded by creditors. While the country’s main PSI 20 stock index tumbled 5.4 
See all stories on this topic »
Portuguese stocks, bonds slide amid confusion over future of government
Washington Post
Prime Minister Pedro Passos Coelho defied calls to resign late Tuesday but he was running out of options to keep his center-right coalition government together following the resignations of key ministers in a spat over austerity. A protester holds an 
See all stories on this topic »
Heywood: 20-Year Battle To Fix UK Economy
Orange UK News
Britain is in a “20-year generational battle” to rescue the economy, according to the country’s most senior civil servant. Cabinet Secretary Sir Jeremy Heywood has suggested drastic austeritymeasures implemented by the coalition may have to go further.
See all stories on this topic »
Portugal, oil in focus as stock futures retreat
USA TODAY
In Europe, markets moved sharply lower as Portugal’s foreign minister resigned amid a dispute over the nation’s austerity program, the Wall Street Journal reported. That follows a surprise departure for the country’s finance minister on Tuesday 
See all stories on this topic »
Lenders Pressuring Greece Over Austerity Pledges
Voice of America
The lenders – Greece’s European neighbors, the European Central Bank and the International Monetary Fund – have been meeting with government officials in Athens. They are demanding that the government make progress on its austerity pledges ahead of 
See all stories on this topic »
New Study Dispels Myths of European Austerity
OpenMarket.org
Cries throughout the media of “savage austerity” notwithstanding, only a handful of European countries have actually implemented austerity in the true sense of the term: reducing both public spending and taxation. On the other hand, most countries in 
See all stories on this topic »
Portugal gov’t in peril as another minister quits
TheNewsTribune.com
Portugal’s government was in danger of collapse Tuesday after Foreign Minister Paulo Portas, the leader of the junior party in the center-right coalition government, resigned over the bailed-out country’s austerity policies. By BARRY HATTON; Associated 
See all stories on this topic »
Rug buyers look for round rugs in austere times
PRWire (press release)
Rug buyers across Australia are looking to make their homes cosier as they hunker down for a period of relative economic austerity. That’s the view of the team at The Bespoke Rug Company (www.bespokerugs.com.au) Australia’s leading retailer of 
See all stories on this topic »
Bailed-out Portugal’s finance minister resigns
Fresno Bee
Workers’ unions called a 24-hour general strike to protest the government’s austerity measures with public transport and government offices expected to be the worst-hit services. The banner reads in Portuguese: “The street is our. Nothing to lose”.
See all stories on this topic »
The Tories must beware these feelings of irrational exuberance
Telegraph.co.uk (blog)
We have had enough of five years of austerity and doubt. All around there are signs that the economy is stirring, that the combination of low interest rates and high employment is beginning to encourage consumer activity. Even beyond the powerhouse of 
See all stories on this topic »
There are few bright spots for them in last week’s spending review by George 
Third Sector
There are one or two other bright spots for the sector in the sixth year of austerity announced by George Osborne in last week’s spending review, which was in effect the opening salvo of the next general election campaign. The continuing expansion of 
See all stories on this topic »
Portuguese Finance Minister’s Exit Elicits Few Gasps
Wall Street Journal (blog)
Yields on Portuguese government bonds ticked up a bit to 6.42% after the unexpected resignation of Mr. Gaspar–the architect of Portugal’s austerity plan–but volumes were low, and the news didn’t prompt predictions of outright default. Instead 
See all stories on this topic »
Democratic Deficit Scolds Get Desperate and Weird
New York Magazine
Liberals may complain about austerity, but, they argue, “we haven’t had an austerity budget.” Cowan and Kessler’s evidence for this — that the federal government spent more, on average, during Obama’s first term than during George W. Bush’s second 
See all stories on this topic »
Lapid: Deficit could cause collapse
Globes
Finance Minister: The austerity measures will stop Israel reaching the conditions in Europe with high unemployment. 2 July 13 12:42, Moshe Golan. Tweet. “The idea that we have people here whose lives are at risk because they are doing their jobs is 
See all stories on this topic »
EU Rehn: New Portugal Finance Minister Must Maintain Tempo of Reform
Wall Street Journal
The former treasury secretary took the post after Vitor Gaspar, chief enforcer of austerity demands under Portugal’s EUR78 billion international bailout program, said Monday he was stepping down after two years in the job. Mr. Rehn praised Mr. Gaspar 
See all stories on this topic »
The Strain in Spain Could Help Firefox OS Take Root
TechNewsWorld
Due to the extreme austerity measures in certain South American and European countries, “low-cost smartphones will be very appealing,” said Joshua Flood, a senior analyst at ABI Research. The ZTE Open — the first commercially available smartphone 
See all stories on this topic »
Merkel opponent derides jobless summit as cynical ploy
Reuters
BERLIN (Reuters) – Angela Merkel’s summit on youth unemployment in Europe is an attempt to paper over the economic consequences of the austerity policies she championed in the region, a leading member of Germany’s opposition Social Democrats 
See all stories on this topic »
Portugal’s austerity government feels the pinch
BBC News
The resignation in quick succession of two of Portugal’s biggest political beasts has left many questioning whether the right-of-centre government which has enthusiastically embraced austeritymeasures can survive more than a few weeks, let alone months.
See all stories on this topic »
Twenty years of austerity ahead, says Sir Jeremy Heywood
Telegraph.co.uk
Sir Jeremy Heywood also suggested that the cuts made to public services to date were not sufficient and that austerity measures would have to continue for “at least” another four years. The comments from the Cabinet Secretary will have a sobering 
See all stories on this topic »
Austerity Blitz: Eurozone Notes From Beyond the Grave
Truth-Out
The criminal effects of the austerity blitz strategy that the European Union (EU) conceived of on Germany’s insistence as the answer to the global financial crisis when it hit Europe’s shores with the triggering of the Greek sovereign debt crisis have 
See all stories on this topic »
Portugal’s Budget Austerity May Do More Harm Than Good
KTEP
LAUREN FRAYER, BYLINE: Of all the bailed-out countries in Europe, Portugal has been the good student – taking the austerity medicine its lenders prescribe. Portuguese Finance Minister Vitor Gaspar took it even further – doubling budget cuts and tax hikes.
See all stories on this topic »
Public sector austerity drive ‘hitting women the hardest’
Gulf Times
George Osborne’s revelation in his spending review that a further 144,000 jobs are to be slashed from the public sector means there is more pain to come for women, critics say. Data collated by the Guardian highlights the disproportionate blow to 
See all stories on this topic »
Lapid: Without Austerity Measures, Deficit Could ‘Bury’ Israel
Algemeiner
Most Popular. Recent Posts. The BioHug vest. Photo: BioHug.com. Israeli-Developed Vest Hugs People to Health · Yair Lapid, leader of the Yesh Atid party. Lapid: Without Austerity Measures, Deficit Could ‘Bury’ Israel · Amy Winehouse. Photo: wiki commons.
See all stories on this topic »
Portugal’s PM says he won’t quit despite resignations over austerity measures
Fox News
But the government’s future is hanging in the balance after the resignation earlier Tuesday of Foreign Minister Paulo Portas, the leader of the junior party in the governing center-right coalition, in protest against austerity measures. Passos Coelho 
See all stories on this topic »
Trade unions call for social investment
Morning Star Online
And he said the people of Northern Ireland were suffering the same fate at the hands of the austerity-mad Westminster government. “Austerity is now no more than a mantra without meaning. The intellectual underpinning for it has been discredited,” he 
See all stories on this topic »
Portugal’s finance minister resigns amid pressure for government to soften 
Malaysia Sun
Portugal’s finance minister resigns amid pressure for government to soften austerity | Malaysia Sun. Malaysia Sun. Issue 11/0183. Malaysia Sun · http://www.malaysiasun.com · Malaysia News · Southeast Asia News · Breaking International News · Asia 
See all stories on this topic »
Activists climb County Hall, Westminster in anti war, anti austerity protest
Indymedia UK
The newly formed Black Katz Kollektive has within the last hour occupied County Hall on the south side of Westminster Bridge facing the Houses of Parliament, with banners unfurled down the side of the building. Their message is simple: stop the war 
See all stories on this topic »
Portuguese government in peril as foreign minister, head of junior party in 
The Republic
Austerity is widely blamed for driving the jobless rate in Portugal to 17.6 percent and for what is forecast to be a third straight year of recession in 2013. Portugal needed a 78 billion euros ($102 billion) bailout two years ago after a decade of 
See all stories on this topic »
Portugal PM defiant despite another resignation
Boston.com
Gaspar, a non-political economist specially selected by Passos Coelho to push the austerity drive, said he lacked the political and public support for his ongoing program of cutting public sector pay and pensions and raising taxes. Portas, the leader 
See all stories on this topic »
Portuguese Finance Minister Gaspar resigns
Channel News Asia
Portuguese Finance Minister Vitor Gaspar, the architect of the country’s reforms under its EU-IMF bailout, resigned on Monday as the economy reels and social discontent mounts under the impact ofausterity measures. PHOTOS. File photo of Portuguese 
See all stories on this topic »
Miss. tax receipts approach $5 billion in FY2013
WJTV
Top budget writers say they expect pressure from schools, universities and state agencies that saw budgets slashed during four years of austerity. Tax receipts have surged more strongly than jobs or Mississippi’s overall economy, leading to notes of 
See all stories on this topic »
Portuguese PM adamant he will not stand down
Radio New Zealand
Austerity measures are blamed for causing Portugal’s worst economic crisis since the 1970s. Portugal has been in recession for two years and the economy is expected to contract by 2.3% this year. Unemployment is over 17.5%. A general strike was held 
See all stories on this topic »
Portuguese Finance Minister Resigns
New York Times
MADRID — Portugal’s finance minister, Vítor Gaspar, unexpectedly resigned Monday amid a prolonged recession that citizens have attributed largely to austerity measures that he helped enforce in accordance with the demands of the country’s 
See all stories on this topic »
Concern over Portugal bailout
Independent Online
Lisbon – The resignation of the main architect of Portugal’s austerity policies has sparked concern over the country’s ability to complete its EU-IMF bailout programme. Analysts say the departure Monday of finance minister Vitor Gaspar has weakened a 
See all stories on this topic »
Portugal foreign minister steps down in second major ministerial resignation
Deutsche Welle
Former Treasury Secretary, Albuquerque was appointed on Monday following the shock resignation of Finance Minister Vitor Gaspar, the main architect of the austerity measures. ccp/kms (AFP, AP, dpa). Date 02.07.2013; Share Send Facebook Twitter 
See all stories on this topic »

Austerity Today


8714991341_cc107d09f7_b

Bond investor says Ireland will continue its policy of austerity

Irish Independent
“Indeed, Irish society seems remarkably hesitant to change course. Right or wrong, Ireland will stick with austerity. Efforts to regain national control of the country’s destiny, the Irish seem to believe, must take time.” Recounting Ireland’s slide 
See all stories on this topic »

 

Ireland and the Austerity Debate

Project Syndicate
DUBLIN – Both sides of the austerity debate that is now gripping economists and policymakers citeIreland’s experience as evidence for their case. And, however much they try to position the country as a poster-child, neither side is able to convince 
See all stories on this topic »

 

No winners if austerity continues – Independent.ie

* The fact that the economy is now officially back in recession vindicates those of us once referred to as economic illiterates. read full article

independent.ie

Reilly to make cuts of €40m in fees to GPs and pharmacists

Cuts effective immediately and figure represents savings to be made by the end of the year read full article

irishtimes.com

Portugal finance minister quits

Resignation of Vitor Gaspar comes amid rising social discontent over austerity measuresread full article

aljazeera.com

EU gives Greece three-day ultimatum over €8.1bn bailout loans

GREECE has three days to reassure its lenders it can deliver on conditions attached to its international bailout in order to receive the next tranche of aid, four euro zone officials wa read full article

independent.ie

Irish health spending contracting faster than any other country except Greece

The OECD figures show Ireland has fewer doctors than most European countries, though more per head of population than in the US or Canada . Ireland has a relatively high number of nurses, though the report warns about comparing data as nurses and midwives can be categorised differently. read full article

irishtimes.com

Public sector austerity measures hitting women hardest

Figures show that twice as many women as men have lost jobs in local government since the coalition came to power in 2010 read full article

guardian.co.uk

Austerity


8689405823_f17f1e111e_b

EU officials: 2,500 jobs to go in austerity deal

Two thousand five hundred EU officials are to lose their jobs in the next four years under a new austerity agreement. read full article

euobserver.com

Economic Rebalancing Acts by Robert Skidelsky

A phrase often heard, especially in leftist circles, is that the 2008 crisis has given us an opportunity to “rebalance the economy,” with production for profit yielding to production for “well-being.”… read full article

project-syndicate.org

Prime Minister’s ‘Loose Cannon’ Style Divides Greece
NPR
Antonis Samaras became prime minister of Greece a year ago, when the world assumed his country, battered by debt and austerity, would exit the eurozone. European leaders were openly relieved that Samaras’ conservative, pro-bailout New Democracy 
See all stories on this topic »

COLUMN: Beth Farhat – Heavy toll of austerity

nebusiness.co.uk
On the 20th and 21st June the TUC Austerity Uncovered bus stopped at Carlisle, Newcastle, Sunderland and Stockton. Staff and campaigners spoke to people facing a variety of challenges, including the arbitrary bedroom tax, rising bills, pay freezes, pay 
See all stories on this topic »

 

What’s killing Labour? A thousand failures to oppose the cuts

The Independent


His statement last week should have been rebranded “The Comprehensive Review of the Failure ofAusterity”. The Tories’ central pledge at the last election, after all, was that the deficit would be erased, wiped out, vanished over the course of this 
See all stories on this topic »

 

Economic Rebalancing Acts

Project Syndicate
LONDON – We all know how the global economic crisis began. The banks over-lent to the housing market. The subsequent burst of the housing bubble in the United States caused banks to fail, because banking had gone global and the big banks held one 
See all stories on this topic »

 

A brief look at Britain’s economy as new Bank of England governor takes charge

Edmonton Journal
Prime Minister David Cameron’s government instituted an austerity program to make ends meet and shrink the size of the government. The respected Institute for Fiscal studies estimates that 1 million public sector jobs could be lost by 2017-2018. Even 
See all stories on this topic »

Austerity News


There’s a good reason we haven’t rioted over all the austerity

Irish Independent
For the past five years the Irish people have been hammered almost senseless by austerity. And it’s not like we’ve sleepwalked through it: week in and week out the airwaves, papers and social media are on fire with frenzied analysis and furious reaction.
See all stories on this topic »

The Irish Economy – Brendan and Dermot Walsh on health and austerity

Dermot and Brendan Walsh have just published a provocative comment in the British Medical Journal on the link between health and austerity  [http://www.bmj.com/content/346/bmj.f4140/rr/651853]. Momentary relief from the deliberations on Anglo! The comment reads: Ireland is – after Greece – the country where the post 2008 structural adjustment programme, aka austerity, has been proportionately most severe. Yet there are […] read full article

irisheconomy.ie

Agreement reached on austerity measures and reforms for European civil service

Invest in EU
They confirmed an agreement achieved on Tuesday (25) by representatives of the Parliament, theIrish Presidency and the Commission which was already supported by the Parliament’s Legal Affairs Committee yesterday (24). Vice-President Maroš Šefčovič 
See all stories on this topic »

Austerity: the elderly can be part of the solution to this economic mess
The Guardian
Will Hutton is rightly appalled by the stupidity of George Osborne and the coalition’s economic policies, which even Vince Cable and the Lib Dems are now beginning to realise are taking us in an accelerating downward spiral (“Blame austerity, not old 
See all stories on this topic »
Portland’s Austerity Resistance Movement Sparks Changes to City
Bay Area Indymedia
This latest round of cuts promised to be the worst of several successive years of austeritymeasures. Each time city officials have told the public that “temporary” sacrifices need to be made now to enable the economy toå turn around tomorrow. Each 
See all stories on this topic »
France to deepen austerity cuts next year – paper
Times of Oman
France to deepen austerity cuts next year – paper. by Reuters June 29, 2013 , 7 : 38 pm SAVE THIS ARTICLE. Share. Tweet. E-mail. Young French people demonstrate against President Hollande’s economic policies in Paris. Photo – Daniel Finnan via Flickr 
See all stories on this topic »
More Austerity Seen Coming For Greece
Greek Reporter
The newspaper Kathimerini said it had seen a revised memorandum between Greece and the Troika of the European Union-International Monetary Fund-European Central Bank (EU-IMF-ECB) which calls for new austerity measures unless revenues can be 
See all stories on this topic »

The pain of mining austerity: 7000 Queensland coal jobs gone

MINING.com
Roughly 7000 coal sector jobs have disappeared from the Australian state of Queensland in just over a year, The Courier-Mail reported Saturday. “New market realities” including collapsing commodity prices, slowing Asian demand and diminishing profits 
See all stories on this topic »
France in double-dip recession amid austerity measures: Analysts
Press TV
Analysts say French leaders are continuing with austerity measures and cuts although reports indicate that France is in a double-dip recession, Press TV reports. “France is in recession because President Francois Hollande has chosen austerity. But 
See all stories on this topic »

Austerity starts at home, cut political salaries first: Lithuanian president

euronews
After a successful Irish EU presidency, which saw real steps taken on banking union and the bloc’s budget, euronews met with Lithuanian President Dalia Grybauskaité to discuss which course she plans to chart for the European Union over the next six 
See all stories on this topic »
Austerity and the Mistaken Lessons of History
New Yorker (blog)
At this stage, when even the International Monetary Fund has turned against Osborne and called upon him to reverse course, I won’t bother retreading the arguments against austerity. Suffice it to say that compared with the behavior of the U.S. economy, 
See all stories on this topic »

Austerity is like ‘bleeding’ the patient – and may be as deadly


Irish Independent
Retail sales, which were looking up only a few months ago, are falling, no doubt as a result of sustained austerity, which reduces disposable income, and uncertainty surrounding the property tax. Three things explain the decline. First, austerity is 
See all stories on this topic »

Austerity Opera made to inspire next generation
Cotswold News
Two enterprising Midlands arts companies are staging a full-scale opera, based on Homer’s epics The Iliad & The Odyssey, on a budget that would barely pay for the wardrobe of most opera houses. Coventry-based Talking Birds Theatre Company and 
See all stories on this topic »
Prince Charles: Taxpayers’ bill for austerity heir HALVES in one year
Mirror.co.uk
He’s not exactly surviving on bread and water, but Prince Charles has halved the amount of taxpayers’ money he has splashed out, figures revealed today. The public bill for the heir to the throne fell from £2.2million to £1.15million in the last 
See all stories on this topic »
Portuguese strike against austerity
RT
Portuguese strike against austerity. Thousands of people have been marching towards the parliament in Lisbon as trade unions, which represent around 1 million workers, staged a 24-hour strike. This protest was aimed against relentless austerity 
See all stories on this topic »
The Austerity Bus arrives in Weston-super-Mare
ITV News
The TUC Austerity Bus has arrived in Weston for a rally organised by the union, Unison. Many of its members work at Weston General Hospital and say they are concerned at proposals to privatise it. The hospital has struggled with debt and new methods of 
See all stories on this topic »
Miners to offer austerity help to Durham’s former pit villages
The Northern Echo
The Durham Miners’ Association has called the first meeting to discuss the union’s response toausterity measures at the Glebe Centre, in Murton on Tuesday, July 2 at 5.30pm. It will discuss the impact of unemployment, benefit cuts and the so-called 
See all stories on this topic »

UK Labour Party Admits Austerity Plans

133624_600

Austerity news from Around the Globe


 
 

d0ddbc8e68becda49551b1552a310ea3

Austerity is a Four-Letter French Word

FXstreet.com
Austerity is a four-letter Anglo-Saxon – or even worse, Teutonic – word in socialist France, yet the market at some point is going to want to see a move toward sustainable budgets. Government bond investors are not philanthropists. They look for the …
See all stories on this topic »

 

Austerity drains economic life

Yorkshire Post
THE latest statistics confirm that wages are increasing by well under the inflation rate, at the same time as benefits for those of working age are rising at just one per cent a year. So I’m not surprised that the economy is still struggling, as people 
See all stories on this topic »

 

Scottish independence: ‘No’ vote austerity warning

Scotsman
But Labour leader Johann Lamont insisted that an independent Scotland would face even harsherausterity than the UK amid concerns that SNP “big business” tax breaks will see major job cuts. The leaders clashed today during the final First Ministers 
See all stories on this topic »

 

Portugal: 5 million participated in general strike, say unions

 

Patience with the government’s austerity plan is running thin in Portugal with banners reading ‘Enough’ and ‘Government Out’. In their fourth general strike in two… read full article

 Austerity: ‘unprecedented erosion’ in living standards
The Guardian
If you thought you were feeling the pinch, here’s probably why. Rising prices, stagnant wages and benefit cuts are creating an “unprecedented erosion” in living standards, especially for low and middle income families, according to new research from 
See all stories on this topic »

 

Stuff your austerity! We want something different

New Internationalist (blog)

The idea of the Peoples Assemblies is to create a mass national and local movement against austerity. Saturday’s event brought together people of all ages and walks of life – trade unionists, direct activists, students, pensioners, hackers, disabled …
See all stories on this topic »

Social Justice Ireland says austerity not working

RTE.ie

“Austerity is not working for Ireland. Government has cut spending, raised taxes, increased unemployment, lowered wages, decimated services and allowed infrastructure to deteriorate on the understanding that austerity would lead to recovery …
See all stories on this topic »

Austerity leaves bitter taste as Leinster House sweet shop shuts
Irish Times
It was the Taj Mahjal of the mint humbug, the Southfork of the chocolate snowball, the Buckingham Palace of the fruit pastille. The notorious Leinster House sweetie shop – that glass walled monument to the Celtic Tiger notions of a discredited …
See all stories on this topic »

 

Miliband’s offer of austerity in a red rosette is failing voters
New Statesman
If austerity is wrong and counter-productive when the Tories do it, it will be wrong and counter-productive whoever does it. Austerity in a red rosette is no less brutal and damaging than in a blue one. In failing to articulate a clear economic …
See all stories on this topic » 
 
Portuguese businesses attack austerity, urge U turn
GlobalPost
Portuguese business leaders launched on Monday a strong attack on austerity conditions tied to the EU-IMF bailout of the economy, saying that they had failed and the government should change direction to save the country from “recession”.
See all stories on this topic » 
 
Union warns austerity will spur growth of ‘zero hours’ contracts
Financial Times
images (11)
Austerity will spur the use of zero hours contracts, as more public sector work is outsourced to providers who rely on the ultimate flexible employment option, a think tank and union have said. The contracts, which offer no guaranteed work, are being …
See all stories on this topic »
 
Discredited Pro-Austerity Research Gets New Love From World’s Central Bank
Huffington Post
Our world’s troubling austerity deficit is actually not the main message of the BIS’ 76-page opus, but an entire chapter, “Fiscal sustainability: Where do we stand?” is dedicated to the topic. And this chapter sounds a rallying cry for more austerity …
See all stories on this topic »

Austerity Loses in Massachusetts
The Nation.
Gomez ran as a classic proponent of austerity. He proposed to balance budgets on the backs of working families and retirees. The Republican nominee supported raising the retirement age for Social Security benefits for future retirees and he wanted to …
See all stories on this topic » 
 
France’s Austerity Drive Pushes Country into Recession
IBTimes.co.uk
download (8)
France’s drive to slash spending and debt by implementing strict austerity measures has pushed the country into recession, confirmed the government’s statistics office. In the first quarter of 2013, French gross domestic product (GDP) in volume …
See all stories on this topic »
  
Lying about austerity serves “special interests”
People’s World
A few weeks ago, the most prestigious apologists for austerity in the economics profession, Ken Rogoff and Carmen Reinhart of Harvard University – now known as R & R – were brought up short when a blatant spreadsheet error in their published work …
See all stories on this topic » 
 
‘Greece to avoid more austerity’
Independent Online
images (10)
Athens – Greece’s Prime Minister Antonis Samaras said on Tuesday avoiding new austeritymeasures to fulfill targets in the country’s international bailout was a priority of his two-party coalition government. “Our immediate priority is to return to …
See all stories on this topic »
  
Greece: Austerity Doesn’t Involve Public-Sector Layoffs
Heritage.org (blog)
Slate’s Matthew Yglesias might be attacked as an “austerity denier” now that he has joined Heritage’s Salim Furth in pointing out that there is a lot of policy diversity under the broad label of “austerity.” Yglesias explained last week why a small but …
See all stories on this topic »
 
Austerity support frays at edges among EU smaller fiscal hawks
Financial Times
Since the financial crisis swept through Europe four years ago, the bloc’s triple-A rated economies have been vociferous backers of controversial austerity measures as the solution to the continent’s woes. Yet as the crisis drags on, unemployment rises …
See all stories on this topic »
  
Austerity Remains Key to Britain’s Economic Plan
New York Times (blog)
LONDON — Extended spending cuts, including a fresh squeeze on welfare payments, were announced by the British government on Wednesday, ensuring that the politics of austerity remain firmly center stage in the run-up to the country’s next elections.
See all stories on this topic » 
 
UK austerity: ‘Diverting money from poor to rich under guise of economic crisis’
RT (blog)
The UK’s austerity policy is ideologically driven and is aimed at diverting finance from the poor to the rich under the pretext of the economic crisis, writer John Wight told RT. Britain’s Chancellor of the Exchequer George Osborne is announcing …
See all stories on this topic »
 
Portuguese Workers Strike to Say Austerity Has Gone Too Far
Wall Street Journal
LISBON—A nationwide strike froze public-transport services and shrank hospital staffs across Portugal on Thursday amid a growing consensus among workers and businesses that austerity has reached its limit. Protests and strikes have become common …
See all stories on this topic » 
 
Austerity Britain rolls on
Morning Star Online
In the run-up to George Osborne’s spending review, the Sunday TV discussion programmes ran with their usual carefully selected commentators. All of them accepted that there have to be cuts in public expenditure. There was not an alternative policy on …
See all stories on this topic » 
 
Britain sugars austerity pill with infrastructure boost
euronews
LONDON (Reuters) – Chancellor George Osborne unveiled a new round of spending cuts on Wednesday, but promised to pump some of the savings straight back into the economy to counter charges of excessive austerity. In a speech to parliament …
See all stories on this topic »
 
More spending cuts for Britain, but austerity pill is sugared
Reuters UK
LONDON (Reuters) – Chancellor George Osborne unveiled spending cuts on Wednesday to try to tame the country’s big public deficit, but promised to reinvest some of the money saved to counter criticism of excessive austerity. In a speech to parliament, …
See all stories on this topic »
  
 
Austerity? It’s hardly begun! Chancellor Osborne tightens the purse strings …
This is Money
But for all the talk of austerity, government spending is set to rise from £720billion this year to £745billion in 2015/16 – the year the latest cuts take place. Over the same period, tax receipts are expected to rise from £612billion to £658billion …
See all stories on this topic »
Chappatte-Crise-eu
MovieBabble

The Casual Way to Discuss Movies

OLD HOLLYWOOD IN COLOR

...because it was never black & white

LEANNE COLE

Art and Practice

CURNBLOG

Movies, thoughts, thoughts about movies.

FilmBunker

Saving you from one cinematic disaster at a time.

From 1 Blogger 2 Another

Sharing Great Blog Posts

Wonders in the Dark

Cinema, music, opera, books, television, theater

Just Reviews

Just another WordPress.com site

Mark David Welsh

Watching the strangest movies - so you don't have to...

conradbrunstrom

Things I never thunk before.

News from the San Diego Becks

The life and times of Erik, Veronica and Thomas

The Silent Film Quarterly

The Only Magazine Dedicated To Silent Cinema

Leaden Circles

First a warning, musical; then the hour, irrevocable. The leaden circles dissolved in the air.

My Archives

because the internet is not forever

CineSocialUK

Up to the minute, fair, balanced, informed film reviews.

PUZZLED PAGAN PRESENTS

A Shrine to Pop Culture Obsessiveness. With Lots of Spoilers

Thrilling Days of Yesteryear

“Nostalgia isn’t what it used to be” – Peter DeVries

thedullwoodexperiment

Viewing movies in a different light

Twenty Four Frames

Notes on Film by John Greco

Suzanne's Mom's Blog

Arts, Nature, Family, Good Works, Luna & Stella Birthstone Jewelry

It Doesn't Have To Be Right...

... it just has to sound plausible

NJ Corporate Portrait Photographer Blog

The life of a corporate portrait photographer who likes to shoot just about anything.

arwenaragornstar

A French girl's musings...

Jordan and Eddie (The Movie Guys)

Australian movie blog - like Margaret and David, just a little younger

Octopus Films

A place for new perspectives on films, TV, media and entertainment.

scifist 2.0

A sci-fi movie history in reviews

The Reviewer's Corner

The Sometimes Serious Corner of the Internet for Anime, Manga, and Comic Reviews

Ready Steady Cut

Your favorite pop-culture site's favorite pop-culture site

First Impressions

Notes on Films and Culture

1,001 Movies Reviewed Before You Die

Where I Review One of the 1,001 Movies You Should Watch Before you Die Every Day

Movies Galore of Milwaukee

Movie Galore takes a look at Silent films on up to current in development projects and gives their own opinion on what really does happen in film!

The Catwing Has Landed

A Writer's Blog About Life and Random Things

mibih.wordpress.com/

Anime - Movies - Wrestling

Gabriel Diego Valdez

Movies and how they change you.

The Horror Incorporated Project

Lurking among the corpses are the body snatchers....plotting their next venture into the graveyard....the blood in your veins will run cold, your spine tingle, as you look into the terror of death in tonight's feature....come along with me into the chamber of horrors, for an excursion through.... Horror Incorporated!

Relatos desde mi ventana

Sentimientos, emociones y reflexiones

Teri again

Finding Me; A site about my life before and after a divorce

unveiled rhythms

Life In Verses

Gareth Roberts

Unorthodox Marketing & Strategy

leeg schrift

Taalarmen

100 Films in a Year

12 months. 100 films. Hopefully.

%d bloggers like this: