it was just brought to to this author's attention (via @rubenmooijman) that professor Nouriel Roubini gave an interview to Germany's most popular newspaper where he demanded basically to do more stimulus for the real economies in Southern European countries instead of putting ever higher sums into failing systems. He warned in that interview of an uncontrolled exit of Greece from the euro area (although it's only fair to comment that so far he and at least Megan Greene of RGE until very recently came to the conclusion that Greece has to give up the Euro currency in order to find new ways for growth)
>>BILD: Ist es nicht besser zu sparen, als den Markt mit Geld zu fluten?
Roubini: „Nein! Der Sparwahnsinn muss beendet werden. Die Regierungen müssen die Steuern senken und die Löhne erhöhen. Europa braucht Wachstum. Die deutsche Regierung sollte jedem deutschen Haushalt einen 1000-Euro-Reisegutschein schenken. Der darf aber nur für Urlaub in den Krisenländern ausgegeben werden. Damit wird die dortige Wirtschaft angekurbelt. Außerdem sollte jeder einen Steuerbonus bekommen, der sich in den Südländern eine Ferienimmobilie kauft.“<< engl.: BILD: Isn't it better to save instead of flooding the market with money ? Roubini: "No ! The austerity insanity must be ended. The governments must lower taxes and increase wages. Europe needs growth. The german government should donate every German household a 1000-Euro-travel-voucher. That one however is only to be used for a vacation in those crisis countries. Thereby the economy there will get a boost. Besides that everyone should get a tax break who buys himself a vacation apartment in Southern countries."
source: bild.de
Well 'helicopter money' wasn't on this author's mind , but incentives to promote travel to e.g. Greece however was. It was more the idea to promote EU wide advertisements on TV channels and in newspapers. It might be a good idea to give those who book their vacation in e.g. Greece a chance to win a prize in a lottery.
As described earlier here: Helping Greek bureaucrats not businesses (currently!)
It's about time to learn that the whole crisis is as much about imbalances as about bureaucrats who are more likely to waste billions of Euros to support financial structures which are rotten to the bone, instead ever thinking of how to support the very structures everything else is build on. This author's guess was and is still that many of those in charge have somehow forgotten about what capitalism is all about:the market ..and those who are representing demand and supply (consumers & businesses)
last updated: June 12th 20:08 CET
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