You can’t cut your way out of a recession

I’ve been very taken with Giles Wilkes’s writing before, so I expect that his latest piece, ‘Slash and grow? Spending cuts and economic recovery’, should be well worth a read.

A couple of quotes that stood out from his summary:

Public debts have risen largely to allow private indebtedness to fall without producing catastrophic consequences for the economy.
…
If the next British government proceeds upon the basis of deficit reduction before growth, it risks achieving neither.