Friday, September 19, 2014

Angela Merkel scolds a group of Nobel laureate kettles

Jens Berger in Eurokrise: Kleine Hoffnungszeichen beim Mainstream, kein Lernfortschritt bei Angela Merkel 16.09.2014 references the following two articles describing criticism by Nobel laureates in economics of Angela Merkel's Herbert Hoover/Heinrich Brüning economic policies that are wrecking the eurozone economy and hurting millions of people:

Ambrose Evans-Pritchard, Nobel economists say policy blunders pushing Europe into depression The Telegraph 08/20/2014

Holger Zschäpitz, Nobelpreisträger rechnen mit Merkel ab Die Welt 24.08.14

Evans-Pritchard quotes Joe Stiglitz:

Professor Joseph Stiglitz said austerity policies had been a "disastrous failure" and are directly responsible for the failed recovery over the first half of this year, with Italy falling into a triple-dip recession, France registering zero growth and even Germany contracting in the second quarter.

"There is a risk of a depression lasting years, leaving even Japan's Lost Decade in the shade. The eurozone economy is 20pc below its trend growth rate," he said.

Mr Stiglitz said the eurozone authorities had massively underestimated the contractionary effects of austerity and continue to persist in error despite claims that the crisis is over. "I am very concerned about the future of monetary union, and they haven't yet felt the impact of geopolitical tensions."

He said the eurozone needs joint debt issuance to repair the structural flaws of EMU, but almost no progress has been made. "Europe suffers from fatal politics," he said.
That's an excellent summary: Europe suffers from fatal politics. Angela Merkel's politics.

Angie gave the keynote address in English to this year's Nobel Laureate Meeting in Lindau last month, on which those article are reporting. Video here, but embedding doesn't seem to be available.

Deutsche Welle English reports on her speech in Chancellor Merkel challenges Nobel economists 20.08.2014. It opens with this priceless linein the summary: "German Chancellor Angela Merkel has asked Nobel laureate economists why their discipline got so much so wrong in recent years."

Frau Pot, meet the Herrn Kettle.

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