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Austerity: 12 Myths Exposed

Belt tightening austerity policies have been the path for most countries shaken by the financial crisis more than ten years ago. The deep spending cuts were often justified based on questionable grounds. Austerity: 12 Myths Exposed debunks commonly held beliefs by the advocates of austerity as the solution to overcome an economic crisis.

Mar 05, 2019

Austerity in the contemporary sense of taming welfare-state capitalism has been haunting states and societies around the world for quite some time. Despite all the evidence of failure, we hear the battlecry:‘Austerity is dead. Long live austerity!’ Why do the architectures of austerity remain in place? What are their foundations and core pillars? Who is supporting austerity,and why?Austerity: 12 Myths Exposed debunks commonly held beliefs in support of austerity as the solution to addressing stagnation and economic crisis. Austerity staples like ‘live within your means’, ‘Swabian housewife economics’, ‘public spending hampers private investment’and the new authority of alleged maximum debt and deficit levels, such as the Maastricht criteria governing the eurozone, are tackled and taken apart.  One thing is clear: austerity is a tool of national and international financial interests—not a solution to the problems caused by them.

AUSTERITY: 12 MYTHS EXPOSED is edited by Dieter Plehwe, Moritz Neujeffski, Stephen McBride, and Bryan Evans and published in Berlin by Social Europe Publications.