The Organization for Economic Cooperation and Development issued a warning to the 17-nation eurozone today – saying that there’s a good chance of a “severe recession” this year if governments and the European Central Bank don’t act quickly to promote economic growth. That’s the same message the IMF had for the U.K. today – calling on the British government to slow down on the austerity and pass stimulus measures to boost demand and grow the economy.
Europe is sinking under the weight of vicious austerity measures in places like the U.K., Spain, and Greece that have led to economies contracting, unemployment surging, deficits growing, and suicide rates spiking. Here in the United States – the Paul Ryan Republican budget would have similar effects. Despite Ryan arguing that his budget isn’t austerity, an analysis by the Economic Policy Institute found that the budget would kill 4.1 million American jobs.
But Ryan is half-right – his budget isn’t total austerity. It’s only austerity for working people, as the Romney super-rich make off like bandits under his plan with a $3 trillion tax cut.