Friday, September 16, 2011

The road to Hell is paved with wishful thinking

As the news rolls in there's two types - emergency measures which are sold as confidence building but turn not to be enough, and the other sort dire.

The Economist tells us that Angela Merkel needs to explain to the German people someone has to pay and its going to be them.

We have George Osborne telling us Britain's interests are in a strong Euro zone ( do you feel you wallet quiver when you read that ? ).

The can is going to get kicked down the road again and its going to cost.

But how did we get here ? The answer is simple - the dishonesty of debt. Governments have given the electorate everything they have wanted ( low taxes high spending ) by using something that's too boring to be understood - debt.

Even if people did try there were the Keynsian apologists to tell them they didn't understand economics and it didn't matter anyway.

We now know where that road leads ...

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