End of socialism in europe?

[EinsteinsGhost]

Originally Posted by 313Weather

There was never Socialism in Europe.

Majority of Europe has a Social Market economy, and although it's the closest thing we have to actual Socialism today, it's not really Socialism.

When even government regulation is "socialism" to Americans, forget about social market economies being treated any differently.

[Roadking2003]

Originally Posted by Mulhall

Government spending here in the UK includes paying £30 Billion interest a year on debt. Government spending being targeted at reducing debt and thereby reducing levels on interest in relation to debt.

I can't speak for Greece, Italy and Spain, although other countries also have sizeable debts that must be paid off with Goverment (tax payers) money.

Failure to pay off these debts or allowing these debts to get out of control would just mean a higher percentage of national buget being spent on paying interest on debts rather than for services and infastructure.

My point is that if spending is going up every year, how can you call it "austerity"?

[Mulhall]

Originally Posted by Roadking2003

My point is that if spending is going up every year, how can you call it "austerity"?

It's austerity because you are paying off your debts and cutting back on public employees, implimenting public sector wage freezes and cutting back on other areas of Government Spending in order to lower the budget deficit and borrowing, which is precisely what has been acheived in the UK.

BBC News - UK public borrowing lower than expected in October

The economic recovery and the budget deficit - UK Parliament

[EinsteinsGhost]

Originally Posted by Roadking2003

My point is that if spending is going up every year, how can you call it "austerity"?

Towards that effect, let us start with: What factors may lead to an increase in spending? Do your best.

[Roadking2003]

Originally Posted by EinsteinsGhost

Towards that effect, let us start with: What factors may lead to an increase in spending? Do your best.

Many.

In my book, austerity means a REDUCTION in spending. But then again, I don't blindly follow Krugman.

[EinsteinsGhost]

Originally Posted by Roadking2003

Many.

In my book, austerity means a REDUCTION in spending. But then again, I don't blindly follow Krugman.

You didn't answer my question: "What factors may lead to an increase in spending?"

Hint: "Many" isn't an answer. List a few drivers.