Austerity x Growth (Cottarelli)

Beyond the austeriity debate: the deficit bias in the post-Bretton woods Era by Carlo Cottarelli. “The austerity vs. growth debate has raged in recent months, pitting those who argue that fiscal policy should be tightened more aggressively now to bring down high levels of debt, even though economic growth remains weak, against those who want to postpone the adjustment to better times. This is a critical issue for policymakers, perhaps the most important one in the short run.”