Wednesday, July 27, 2011

Europe is Stupid theory of economics

Larry Sumers, numbskull theoretician:
Summers: No. Surely, the common currency has been insufficiently supported by common political approaches. But we will learn over time from the European experience what elements have to be common in order to make the system work.

SPIEGEL: Has the response of European leaders to the crisis so far been too dogmatic and bureaucratic?

Summers: There is no politician who will ignore the laws of physics when building a bridge. But there is a tendency in politics in every country to suppose that the laws of economics are flexible and can be adjusted to political necessity. At some point this belief has led to a lack of focus on economic realities in Europe. Larry Summers Bragging to Europe

So, Larry, how does the USA evolve to maintain a common currency when multipliers at central government are way below one?

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