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Sweden here. Went through heavy austerity in the 90s. Things going comparatively good now, just to give you some anectodal evidence for the contrary position.
by alipang 13y ago
Sweden here. Went through heavy austerity in the 90s. Things going comparatively good now, just to give you some anectodal evidence for the contrary position.
- deleted 13y ago[deleted]
- JamisonM 13y agoCanada too, but it a largely inapplicable data point in both cases. First of all for both countries there is no evidence that our lending rates would have increase without the 90's austerity, so its actual value was dubious in the first place. Secondly, as nations mostly on the edge of the global financial storm we are not very interesting, we do not have a huge overhang of private debt that has drastically collapsed demand and crushed our tax base. (Canada has a large amount of private debt but since house values have held that debt is not an "overhang" it just sitting there, I can't speak for Sweden.) That is what put these countries in the positions they are in.