Spain becomes another victim of the EU double-dip recession

[Fpqxz]

Well, first it was Britain, now it's Spain.

From Reuters:

Spain sank into recession in the first quarter and economists said spending cuts aimed at meeting strict EU deficit limits, together with a reeling bank sector, would delay any return to growth until late this year or beyond.

It is the second recession in just over two years for the euro zone's fourth largest economy and comes as the government tries to convince investors it will not need outside aid to put its house in order.

From The Guardian:

Spain has plunged into a double-dip recession, in the latest blow to the eurozone economy. Spanish GDP shrank by 0.3% in the first three months of 2012, the second consecutive decline, as the country's austerity measures and the wider economic slowdown hit growth. There are now eight eurozone nations in recession, plus three other members of the European Union.

And Bloomberg News, which is owned by billionaire NYC mayor Michael Bloomberg is considered relatively conservative in its editorial outlook, issued this opinion piece condemning the EU's austerity policy:

Europe’s leaders cannot blame Madrid. Mariano Rajoy’s center-right government is making progress on reforms aimed at improving the country’s competitiveness and has tried -- to a fault -- to meet the European Union’s austerity demands. The resulting budget cuts are strangling the economy, squeezing the government’s revenue and increasing the likelihood that Spain will need still more austerity to meet the EU’s fiscal targets. The policy has become self-defeating.

Austerity as a macroeconomic policy reminds me a bit of bloodletting in medieval medicine.  Sure, it may get rid of some of the microbes infecting your body, but it's just as likely to kill you as it is to cure you.

[largeham]

As if austerity was ever designed to help the economy. Just another excuse to attack the working class and the poor.

[shykid]

Macroeconomics 101: A government should. not. ever. do austerity measures during a recession. They should do exactly the opposite, if at all possible.

[Lt. Fred]

As with forever, Keynes has something appropriate to say: "The boom, not the slump, is the right time for austerity at the Treasury."

[kefkaownsall]

Sadly Germany still has too much influence over the rest of Europe and the Germans elected a Chancellor who's a racist far right asshole. This is actually one of the one time where I agree with Wilders on the cuts in the Dutch budget although I think he would want cuts elsewhere like to immigration services.

[Fpqxz]

Sadly Germany still has too much influence over the rest of Europe and the Germans elected a Chancellor who's a racist far right asshole. This is actually one of the one time where I agree with Wilders on the cuts in the Dutch budget although I think he would want cuts elsewhere like to immigration services.

I am not aware that Merkel or Wilders are racist in any way.

[kefkaownsall]

Sadly Germany still has too much influence over the rest of Europe and the Germans elected a Chancellor who's a racist far right asshole. This is actually one of the one time where I agree with Wilders on the cuts in the Dutch budget although I think he would want cuts elsewhere like to immigration services.

I am not aware that Merkel or Wilders are racist in any way.

Merkel on immigration <a href="http://www.youtube.com/watch?v=UKG76HF24_k" target="_blank">http://www.youtube.com/watch?v=UKG76HF24_k</a>
As for Wilders well his islamophobia is practically laughable

[Fpqxz]

^Nothing racist about that at all.

Expecting immigrants to at least attempt to assimilate, and opposing Islamism, does not make one a racist.

And honestly, this is a topic for a separate thread anyway.

[kefkaownsall]

^Nothing racist about that at all.

Expecting immigrants to at least attempt to assimilate, and opposing Islamism, does not make one a racist.

And honestly, this is a topic for a separate thread anyway.

I think it's relevant since I am getting the feeling Merkel doesn't like non germans that much

[Fpqxz]

I think it's relevant since I am getting the feeling Merkel doesn't like non germans that much

1.  We don't know what Merkel really thinks, and she sure as hell isn't going to tell the public that.

2.  Europe is not North America, South America, Asia, or Australia.  To assume that a social model which has worked (to varying degrees) in someof these places will automatically work in Europe is absurd.  To forcibly impose such a model on these countries by government fiat is far more racist than anything that Merkel or Wilders could ever say or do.

[Old Viking]

The strain in Spain stays mainly in the plains.