No, it's not. You've got nothing to support it more than your bizarre elitist morality.. because all you have in the real world is examples of its abject failure. How's that quadruple-dip recession in England working out? Spain's unemployment is 60%. UNTOLD RICHES!



Not true at all. Default happens all the time, and doesn't even prevent the next issuance of debt. Don't like it? Prove it does actually happen -- don't just assert it.

Oh, and as to "all the time" -- you've got zero examples of austerity being successful. Want to bet that there's more than zero examples of countries defaulting and still getting their next issuance purchased? :)


Why is unverifiable assertion enough for you to believe that austerity is good.. but at the same time you just can't believe that a country could default and still get its next issuance purchased?

I care about the people who these policies actually affect. I want a model to be adopted that includes private debt service and private debt capacity.. and doesn't magically assume those to be zero like the models that need to be used to assert austerity is a good. Models like this do exist -- check out Steve Keen's models on his debtdeflation.com blog. He's a professor in Australia.