PARIS (Dow Jones)--French President Nicolas Sarkozy defended Monday his economic policies insisting the EUR35 billion investment program he launched November 2009 is essential for the country's economy and not contrary to France's battle to rein in its swollen public finances.
"Of course there is the question of debt, but to pay it back we need growth in the economy," Sarkozy said.
The French President used the example of Greece, saying it too needs growth to be boosted by investment in innovation. "We see what is happening in Greece--cutting spending isn't getting [it] through ...
Britain and most of the EU are doing the same thing as the US. They invest to grow their economies out of the recession.
Because the consensus opinion of the world's top economists all say this is our (and their) best hope to shake it off.
Both our Great Depression and our current Recession were caused by GREED
. Roosevelt thought a balanced budget would rid the US of the Depression. The year he got a balanced budget was the WORST
year of the Depression.
In reality no one then or today knows how to cure an economic morass so they try what the experts think may be our best hope. Japan spent over a decade mired in Stagflation so we're trying to avoid that by putting money where it can grow.
I find this pretty frustrating but at least I understand why it's done and the terrible things we're avoiding by doing so. I'm no economist but I defer to my physician in matters medical so I'll defer to economists rather than a bunch of redneck illiterates with Teabuggery signs.
This weekend I heard an economist predict a 3rd stimulus package which I certainly wasn't pleased by but it's the most qualified experts we need to support, not Archie Bunker.