Here you have the proof – The U.K. has been following the Keynesian economic prescription to the fullest; it cut interest rates, greatly drove up government spending (what our government calls “stimulus” – I call it a waste of taxpayers’ money), printed money like crazy, and nationalized half of the banking industry – Now you have the results: A stagnant economy, crippling budget deficit, rising prices, rising unemployment. As I said before – you cannot put out a fire by spraying it with gasoline.
This is pretty much what is going to happen in the US as well – until we allow the banks to fail and go bankrupt instead of bailing them out for their incompetence, stop spending trillions on foreign wars against nations that pose no threat to us, stop bailing out GM, etc – there is not going to be a recovery. It’s the nature of the beast (business cycle).
Read the article here: