CEPR - Center for Economic and Policy Research


En Español

Em Português

Other Languages

Home Publications Blogs Beat the Press Doctors Report Assault Victim Feeling Better, Attribute Improvement to Vicious Beating

Doctors Report Assault Victim Feeling Better, Attribute Improvement to Vicious Beating

Thursday, 15 August 2013 08:40

Readers of the Financial Times will undoubtedly be looking for this headline in future editions after seeing that:

"Berlin and Brussels credit fiscal discipline and reform for euro zone recovery."

As predicted by non-members of the flat earth society everywhere, the "fiscal discipline" pushed by Berlin and Brussels has led to severe recessions across much of Europe.The story is very simple. In the middle of a severe downturn, cutting back government spending and/or raising taxes lowers demand. There is no reason to think that firms will invest more or consumers will buy more simply because the government is spending less. Recent research from the IMF has confirmed this to be the case.

But just as any non-fatal beating eventually ends, the decline in GDP due to government cutbacks may finally have reached an endpoint. 

Apparently in Berlin and Brussels they consider it cause for celebration that their policies did not lead to a permanently declining economy. This is known as the soft bigotry of incredibly low expectations.

Comments (8)Add Comment
written by Robert Salzberg, August 15, 2013 9:40
Clean and precise. A scarce commodity.
written by medgeek, August 15, 2013 10:05
I'm a physician, and I can assure you that fatal bleeding ends as well.
Morale Will Improve as Beatings Continue
written by Last Mover, August 15, 2013 11:51
Wake up America. What doesn't kill you makes you stronger. At the rate we're going dancing on the edge of economic death every day yet still pulling out alive, we will soon be the most powerful nation on earth.
Fatal beating eventually end too
written by Robert Weiler, August 15, 2013 7:02
The EU may have failed this time, but give them another chance and they will probably get it right. If the ECB hadn't belatedly stepped in to guarantee the bonds of the governments in the periphery they probably would have succeeded in administering a fatal beating. Given the euphoria over the 'success' of austerity it's almost inevitable that they will give it another try during the next recession.
written by urban legend, August 15, 2013 7:11
It's all good so long as it's someone else who suffers the consequences -- like the massive numbers of unemployed in Spain, Greece and Portugal. The slogan is, "We have to make the hard choices. You go first." I mean, what Good Germans would give a care about those profligates in the lazy South as long as they have theirs?

The Euro area leaders deserve tremendous respect for making and sticking to these tough decisions.
Krugman's using Baker's Stuff
written by Robert Salzberg, August 15, 2013 8:10
It is a common phrase, but in the same context and within 12 hours you have to ask, did Paul Krugman just subconsciously use Dean Baker's stuff?

now i feel better
written by Mark, August 16, 2013 8:21
told the doc my head hurt
he asked, "when?"
i said when i hit it with the hammer
he said stop that
it worked!
Sometimes one has to laugh to keep from crying...
written by Merius Atangcho, August 17, 2013 6:45
Hilarious. The elite propaganda is truly relentless such that even when wrong, it's right, and vice versa. Aptly phrased blog post title reminds me of a Rowan Atkinson skit titled "Fatal Beatings" where his character exclaimed, "I wondered then as I wonder now if he might not have turned out to be a very different boy indeed if you had administered a few fatal beatings early on." https://www.youtube.com/watch?v=fZMoB6ms2mE

Write comment

(Only one link allowed per comment)

This content has been locked. You can no longer post any comments.


Support this blog, donate
Combined Federal Campaign #79613

About Beat the Press

Dean Baker is co-director of the Center for Economic and Policy Research in Washington, D.C. He is the author of several books, his latest being The End of Loser Liberalism: Making Markets Progressive. Read more about Dean.