With all the economic crisis in the world, the question is a simple one. IS austerity the answer?
First- what is austerity? Basically, austerity is severe reduction in spending to curb a deficit or reduce a debt. BUT- it does come with a price. That reduction in spending translates into a slower economy. Remember the Midas commercial years ago- Pay me now or Pay me later? There is more than a little economic truth buried in that slogan. IF you have a debt or deficit, you have already spent the money and gotten your gain, but that came with a subtle price tag- someday you need to pay the piper. And YES, it is as simple as that.
The problem is NO ONE is willing to give up what they have already and NO ONE wants their taxes to go up... But then how do you solve this dilemma?
Austerity, to a simple person like me, is not a four letter word. It is the medicine we take when we are sick, that tastes really nasty and kicks our butt to make us sleep, then when we wake up- the original sickness is gone. Well, we are fiscally sick in a National and State way- so isn't taking our medicine or "lumps" a good thing? Our course I don't want to feel an economic pinch or start another recession, but give me an option. To much burden and uncertainty to grow our way out, To much political pressure to not raise taxes(which hurt an economy in its own way), and then the Austerity way- all have a plus side and all have a stumbling block attached to it.
DO NOTHING. That is another option, if you think inaction is in fact an action. But it doesn't FIX anything. It fixes the politicians plight- because they are the ones tasked with the job of dealing with past indiscretions. So the current politicians are left to deal with prior politicians bad decisions... and they do nothing, and so on, and so on... The point of electing leaders is to DEAL with what needs to be dealt with, yes? Am I the only one who believes that? Am I alone on the planet?
Some days it feels that way.
I spoke to some old friends, guys I have known all my life and I asked them how it ends. All of them didn't give an answer, simply said they were happy it didn't really effect them... really? And these were guys who live in CA- the state who is the poster child for the "WHAT DO WE DO NOW?" movement- (or lack of movement).
My point is simply this. Sometimes you NEED to take a step back to move forward eventually.
Austerity- not a four letter word in many ways- is a means to an end. Pain along the way? Probably.
But that doesn't make it the worst option on the table.....