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Can Austerity be Expansionary in Present-Day Europe?
Stockholm University, Faculty of Social Sciences, Department of Economics.
Professor of Economics, Berlin School of Economics and Law.
2012 (English)Report (Other (popular science, discussion, etc.))Alternative title
The Citizen's Controversies* series (English)
Abstract [en]

The idea that cuts in public expenditure might lead to expansionary effectsdue to consumers' expectations for lower taxes in the future was quitepopular between the 80s and the 90s. It is gaining momentum in the currentEurozone citing the successful experiments of the mid-90s in Scandinavia andCanada as successful examples. But how much of the expansionary outcomescame from austerity in itself, and how much from external demand? If thelatter counts, how can austerity avoid leading to depression when Eurozonecountries embark on cuts collectively?

Place, publisher, year, edition, pages
Bryssel: The Madariaga – College of Europe Foundation , 2012. , 7 p.
, Madariaga Report
National Category
Social Sciences
URN: urn:nbn:se:su:diva-84694OAI: diva2:581231
Available from: 2013-01-17 Created: 2012-12-29 Last updated: 2013-01-17Bibliographically approved

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Erixon, Lennart
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