Austerity: How is as Important as How Much

by Alberto Alesina and Francesco Giavazzi, Voxeu Europe’s embrace of austerity has sparked a debate among economists. This column argues that the debate has gone astray. Until the critical principle – ‘how’ is as important as ‘how much’ – is embraced, the austerity debate in Europe will continue to be completely out of line with …

The Big Question: Has Austerity Gone Too Far?

by Giancarlo Corsetti, Voxeu Is austerity self-defeating? Is it keeping Europeans underemployed for years and destroying the very growth needed to pay off the debt? Or is it steering nations clear of Greek-like tragedies? So starts a new debate on Vox on austerity, introduced in this column. Fiscal tightening is the watchword all across Europe. …