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Treasury Sec Lew Pushes For More EU Spending

From an approving New York Times:

Lew to Press for European Policy Changes

By ANNIE LOWREY | April 7, 2013

WASHINGTON — Jacob J. Lew began his first trip to Europe as Treasury secretary on Sunday, a four-city tour in which he is expected to try to persuade finance ministers to pursue a little more growth and a little less austerity to improve the economic fortunes of the Continent and the world.

Because look at how increasing spending has made the US economy rebound from the recession that ended in June 2009.

Growth is again at the top of the Obama administration’s agenda as Mr. Lew meets over a 48-hour period with high-ranking leaders representing the European Union, Germany and France…

Because nothing encourages growth like higher tax, more regulations and Obama-Care.

“Our European partners need to safeguard the stability they have achieved so far,” a senior Treasury official said, noting that euro zone problems reduced global growth by three-tenths of a percentage point last year.

“In light of the reality that countries representing one-third of euro area G.D.P. are shrinking their budgets and restructuring their economies, it is vital to see rebalancing within the euro area with surplus economies contributing more to demand,” said the official, who insisted on anonymity in discussing the Treasury secretary’s plans…

The Obama administration is probably pushing government spending because they’re afraid the EU countries will soon see that cutting spending is helping their economies. Which will make their approach look bad by comparison.

But countries like Germany have shown little willingness to ease the constraints of austerity for peripheral European countries, or to engage in stimulus spending themselves.

What idiots they are. Everyone knows you can spend your way to prosperity.

And for years, European officials have bridled at being lectured by officials from Washington — particularly because many feel that their financial crisis was largely caused by American financial products exported around the world by American banks…

Rubbish. They don’t being lectured to by a country that has to borrow 47 cents of every dollar it spends.

Meanwhile, expect more and more stories like this from the UK’s Daily Mail:

Italian family’s triple suicide ‘blamed on government austerity measures which left them in huge debt’

7 April 2013

Three members of the same Italian family have taken their own lives after state-imposed austerity measures and mounting debts left them believing there was no way out.

Anna-Maria and Romeo Dionisi hanged themselves at their home in the seaside town of Civitanova on the Adriatic coast, becoming the latest victims of the economic crisis.

Mr Dionisi, 63, a former builder, had lost his job and was unable to draw a pension after the state raised the retirement age by five years, 16 months ago, as part of a series of Europe-imposed cuts.

The couple were not able to get by on Mrs Dionisi’s pension of less than almost £500 [$750] a month and had fallen months behind on their rent and bills.

On hearing the news, Mrs Dionisi’s elderly brother, Giuseppe Sopranzi, 78, who lived next door to the couple, threw himself into the sea.

Although many are struggling in Italy as the economy falters and cuts bite, the family tragedy has struck a nerve – triggering an outpouring of grief around the entire country.

At their funeral on Saturday politicians were mobbed by furious friends and family who denouced [sic] the deaths as ‘murder by the state’…

Suicides have become increasingly common in the recession, Italy’s longest for 20 years…

Of course, this is the kind of news stories the Democrats were hoping to get from the sequester.

This article was posted by Steve Gilbert on Monday, April 8th, 2013. Comments are currently closed.

One Response to “Treasury Sec Lew Pushes For More EU Spending”

  1. The real crime here is the European Union. Italians suffered terribly when its EU membership forced up the prices of its exports and heavily damaged Italy’s economy.

    In 2005, all the EU member countries voted NO on the EU constitution, a monstrous 300+ page document that regulated everything, even telling Norwegians how they could hunt reindeer.

    Our present path, pumping money into strangled and over-regulated economies, is going to lead to collapse of the whole structure.




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