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What caused the second recession in Europe was a decrease in energy supply. Country that depended the most on the North sea or North Africa oil and gas exports
by orwin 2mo ago
What caused the second recession in Europe was a decrease in energy supply. Country that depended the most on the North sea or North Africa oil and gas exports suffered the most.
We still live under the constraints of our world, and energy availablity is a big one.
- cyberax 2mo agoI'm talking about the rate hikes in 2010-2011 after the economy started picking up. It caused the double-dip recession in 2012: https://www.macrotrends.net/global-metrics/countries/euu/european-union/gdp-gross-domestic-product https://www.macrotrends.net/global-metrics/countries/euu/eur... and https://www.statista.com/statistics/621489/fluctuation-of-fixed-rate-interest-rates-ecb/ https://www.statista.com/statistics/621489/fluctuation-of-fi... The actions of the ECB caused at least 10 years of misery for Europe. The 2008 crisis was inevitable, but the US bounced back from it within 2 years. While Europe is _still_ not fully recovered. Bernanke deserves a lot of credit for that. He was brave enough to ignore the deficit hawks who were screaming about "inflation" and "debasing the dollar".
- orwin 2mo agoYes. Oil peak production in North Africa is early 2010, peak gas in the north sea is 2004, peak oil 2008. The US recovery started as they started to exploit non-conventional gas, then oil, and Canada who exploited non-conventional felt it even less. Finance (and investing in developing new energy sources) of course had an impact , but energy availability is what drive production growth.