Joseph Stiglitz, former World Bank chief economist (1997-2000), explains to Mediapart why austerity is "a counter-productive strategy" that could trigger a double-dip recession in Europe. "We shouldn't be focusing on the deficit today, tomorrow or next year, we should be focusing on the deficit five years down the line", Stiglitz says. According to the 2001 winner of Nobel Prize in Economics, Europe's debt crisis is far from over, because the European Union included a "fundamental institutional flaw" in the creation of the euro ten years ago. "It is conceivable that one or more countries would either default or drop the euro", he says, however unlikely that may appear.
1. Stiglitz and austerity in Europe
2. Stiglitz and the euro crisis