The American leaders are under the illusion that their Keynesian spending and easy money policies actually have worked, 10% unemployment notwithstanding.
It surely must have occurred to some Europeans that lectures on fiscal rectitude from the Americans display a modicum of hypocrisy. The German Bundestag is hearing the same sorts of voter complaints about bailouts that the American Congress is hearing. The concept of a huge debtor nation, the U.S., offering to help a bunch of smaller debtor nations solve their sovereign-debt problems seems a bit incongruous. But it doesn’t seem to trouble the Obama administration or the Democratic majority in Congress.
“By reaching into virtually every sector of economic life, government is injecting uncertainty into the marketplace and making it harder to raise capital and create new businesses.”
– Ivan Seidenberg, CEO Verizon Communications, Inc.