Fiscal Austerity Plus More Capitalism Works—16 Cases Which Prove It

As the Austrian-school economists explained long ago, austerity — and not more spending — is the way out of a depression. A new empirical study of 16 advanced economies has fully confirmed the thesis that austerity works. The research found that the sizable reduction of a country’s deficit and the stabilization of the public debt is the way for the economy to recover and regain economic growth.