From The Keynesian Archives: Who Said In 2010 That "Europe Is An Economic Success"

Tyler Durden's picture

Paul Krugman says a lot of funny things. 

Indeed, if one is predisposed to being cynical about the 7-year bout of Keynesian madness that has infected DM central banks in the post crisis world, virtually everything Paul Krugman says is funny. 

But some caution is warranted because while Krugman may be an endless source of entertainment for anyone who has even a shred of respect for sound money policies, he is also — as we pointed out when the Nobel prize winner took his economic insanity on a field trip to its natural habitat in Japan last year — there are two words that should strike fear in the hearts of any rational-thinking citizen of the world, and those two words are “Paul Krugman.” 

At no time in history is the above more apparent than now, with seemingly the entire world on its way to becoming Japan because at the end of the day, everyone's answer to why central planning hasn’t delivered on its lofty promises is simply this: not enough Keynes.

Having thus set the stage, we bring you this classic Krugman throwback quote from 2010:

"The real lesson from Europe is actually the opposite of what conservatives claim: Europe is an economic success, and that success shows that social democracy works."

Shortly thereafter, that “economic success” would turn into an unmitigated nightmare both from an economic and political perspective, with the entire periphery losing bond market access in mid-2012 due to the perception of fiscal irresponsibility, an event which was promptly followed up by a Keynesian rhetorical haymaker from Mario Draghi that temporarily stemmed the crisis but wasn’t enough to bring the EU economy back to life and so finally, the ECB went (nearly) full-Kuroda in March, all just to celebrate the fact that "hey, at least inflation isn’t negative anymore" and at least now, only Greece is on its way out because, ironically, it has “too much debt.” 

Certainly doesn't look like “success” to us, although, as Krugman reminds us, you have to look past math when you’re evaluating economic outcomes:

“Actually, Europe’s economic success should be obvious even without statistics.”

And because we couldn’t resist, here's why things have gone from bad to worse in Greece over the past month:

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MayIMommaDogFace2theBananaPatch's picture

Don't do it Alexis -- DON'T!

knukles's picture

Didju know that he's Thomas Stopler's half brother? 



remain calm's picture

Krugman couldn't find his ass hole if you spotted him two hands, a map and a flashlight. Krugman is what happens when the geeky, nerdy twirps grow up and gain positions of authority. Its a disaster. You could subsitute Bernanke, Siegel or Joe Lavorgna. They all come from the same loser mold

wee-weed up's picture



Fugman, is just like his hero, Obozo...

Another self-polishing turd.

With their Nobel awards, they both proved how far the Nobel Committee had/has it's head up it's arse!

The Nobel Committee has made many bad awards over the years...

But Obozo & Fugman are by far the worst.

They really stunk up the joint!

El Oregonian's picture

LOL! You can read more wisdom scribbled over a men's urinal than what comes from the mouth of this idiot Krudman...

ThirteenthFloor's picture

There are two ways to look at Krugman...1) he is a paid shill 2) he is a complete moron. I vote 1. Just to show the stupidity of the left-right paradigm, and the stupidity of this shill, listen to JFK, announce the biggest tax cut in history -> Kennedy vs. Krugman-nomics

malek's picture

Oh, your link goes to that one!

I'd saved off that video back then, effing hilarious demonstration on "how do make a sociopath livid while smiling at him"!

Captain Debtcrash's picture
Captain Debtcrash (not verified) remain calm Jun 1, 2015 6:06 PM

My favorite is when Krugman spouts that debt doesn’t matter because its one person’s asset and another’s liability. Debt is never a zero sum game when the creditor makes plans on debts taken on by fools that can not repay.

LawsofPhysics's picture

Precisely.  Especially when one person has the power to magically "create" and the fucking credits they want...

If that is his take then everyone should be able to issue credit.

A Nanny Moose's picture

Hard to find one's asshole when ones head is secured firmly within.

NEKO's picture

Why does anyone respect a Nobel prize anymore when they are handed out as trinkets to people who obviously have not helped to improve the world in any way. Why give the Nobel Prize in Economics (including $1.4 million in prize money) to this economic dunce.

Chris88's picture

Krugman makes another jackass remark totally detached from reality just because it supports his nonsensical ideological views - I'm not too shocked.  Can you imagine what he's going to say to the Greek idiot?  We all know it's going to be something about how "austerity" (hair dresser not retiring before 50 with full benefits/salary?) must be avoided at all cost and that perhaps printing a shit load of Drachmas is the best way to go.  For an idiot Keynesian like Krugman any substantial devlaution of currency is the panacea for all economic woes when in reality the capital distortion is out the ass and the economy can't correct itself.  

BandGap's picture

Why are all these assholes so punchable? Seriously, I would pay $500 to punch this fucker right in the face, and then kick his cat.


Salah's picture

I'll see your $500, and raise you $500...but I want to sell the cat to a Chinese restaurant.

Buckaroo Banzai's picture

I say, punch him twice, and leave the cat out of it.

Or, punch him, and then sell him to a Chinese restaurant.

I'm good either way.

dogbreath's picture

Gross,  I like chinese food.  

Teamtc321's picture

Fuck you Krugman, you cock sucker who can't find anymore cock to suck.

Future Jim's picture

Krugman is actully a perfect source of advice because he is 100% wrong 100% of the time, so ... just do the opposite.

Ghordius's picture

"Krugman is actully a perfect source of advice because he is 100% wrong 100% of the time, so ... just do the opposite."

well, since Dr. Krugman is so dead against the EUR... balanced budgets, bitchez

Stoploss's picture

Looks like Greece has been thrown to the muzzies any way.

Should have went with VP's offer.

Oh well, stupid is, as stupid does.

Temporalist's picture

Who let the asexual lawn gnome loose?

gdiamond22's picture

i really hope somewhere in the realm of 'life after death' I have the ability to come back to this planet in 200 years and see how history judges this complete psychopath Krugman, but there's a good chance it'll be much sooner than that.

Squid Viscous's picture

what a sick kike how does he still write for the NY Himes... oh wait...

Temporalist's picture

Paul Krugman belives in fantasies because he's living proof that fuzzy-faced trolls exist.

TeethVillage88s's picture

Was it days later that ZH coined the Term PIIGS?

I should look it up I guess.

"While the origin of the term PIIGS grew from the currency trading and investment community, it caught on with the public." (Investopedia)

"The term is widely considered derogatory and its use was curbed during the period of the European crisis by the Financial Times and Barclays Capital in 2010.[2][17][18][19]"

"Financial markets are already coining the term Stupid for countries with the most unwieldy deficits, and that is where the UK comes in. The new acronym stands for Spain, Turkey, United Kingdom, Portugal, Italy and Dubai."

Ah Predates ZH:

"Before the European sovereign debt crisis, a similar term, PIGS, was used to refer to the countries of Portugal, Italy, Greece and Spain given their similar economic environments."

"In 2008, the term was criticized by Portugal’s Finance Minister, but it remains a popular term among financial and economic news agencies and within the investment community."

falak pema's picture

Krugman is what he is; but those who got us into this mess are something else; and he is just running around trying to breathe life into a dead duck; one that got killed by the likes of GWB/Paulson. 

Adding to the pain is just a way of losing the war, one that others started.

But isn't that what life is, from generation to generation?

The only thing that never changes is change itself. Our hubris makes change a never ending game making us run from the last dictator to the next one.

Keep those cattle moving Mr Krugman ! Behind every Krugman there stands a Chisolm.

OC Sure's picture

"Social democracy" works for whom? we know.

q99x2's picture

A Bernanke I know. A Krugman I can guess, but what is this term social democracy?

TheRideNeverEnds's picture

You are looking at it all wrong.

Don't see it as how much the quality or life and standard of living for the average European has decreased. You must see it as how much the standard of living for the African and Asian hordes that you are paying to come rape your women, culture and your lands have increased.

Freddie's picture

Social Democracy?   LOL!  Europe has serfdom but so does Trayvonville, Amerika, Canada-Bronfman land, Australia, Zip Bob Key NZ plus pretty much the rest of the world.   SERFDOM. 

reTARD's picture

I'd like to see Krugman do a Jenner transformation. Paula sounds nice for a Keynesian.

Gent's picture

For fucks sake!  Aren't there enough f'ugly 'women'?

TheGreatRecovery's picture

They say what they're paid to say.

nmewn's picture

“Actually, Europe’s economic success should be obvious even without statistics.”, as obvious as the goat horns on your head.

"The real lesson from Europe is actually the opposite of what conservatives claim: Europe is an economic success, and that success shows that social democracy works."

You're kidding, for who?

Heir Krugman, Greece is an entitlement basket case fiscally, Portugals unemployment rate is 13.%, Spains is 23%, France (which has never seen unemployment below 10% in my lifetime) is 10.6%.

"Social democracy" is a fancy term for "socialism for the lower class", something that never touches your sorry ass.

Is not your net worth 2.5 million dollars?

sTls7's picture

Everytime I see Krugman's face all I can think of is... Enron and his promoting this stock on the NYS exchange days before the collapse.  Paul Krugman.  funny...  always get a chuckle.   LOL. 

GRDguy's picture

Just another front (agent) for The Great Red Dragon (Snakes In Suits).  They sell their soul for a few dollars more, even if they think they're right and simply being rewarded.  Just wait until they're out of the game, and then the horror hits them; "How could I have been such an idiot?"  Then the shame hits. 

bobdog54's picture

In the top 10 of all-time oxygen thieves, that said, maybe not as we seem to be coverd up in thieves....  Just heard BO saying he got the US respected again, woe is me.

Bryan's picture

Yeah, it works fine... for those in power, and as long as the sheep bleat and beg for more free stuff with other people's money.

sunnyside's picture

What is even worse with his type is the absolute arrogance in ever admitting a mistake.  I fuck up every day, and that's ok.  I admit it, learn and move on.  At some time in the near future, this guy will be watching it all crumble violently while screaming that we just needed to print and borrow more.

Chipped ham's picture

You should try to cut back. Every day? That's a lot.

MEFOBILLS's picture

"The 7 year bout of Keynsian madness."  The madness is Quantitative Easing, and that Philosophy can better be laid at the doorstep of Chicago School Monetarists.  

When somebody speaks a word, it goes through space and makes a compression wave.  This compression wave is then received by the listener.  

The word can have a meaning in the brain of the speaker, and a different meaning in the receiver.  

Words like Keynsian can have many meanings, especially if people attribute things to him that he never considered, or things Keynes would probably be against.  Keynes noticed the problems with Western Debt Spreading banks and offered solutions.  

Words like fiat can have many meanings too.  Beware the propagandist that doesn't define terms.

Heterodox economics's picture

Krugman made those comments in 2010.  What do the stats say?  Here I found GDP stats for Europe.  From 2010 on, GDP growth rates have been un-impressive.


adonisdemilo's picture

"The EU is a democratic and economic success"

Yeah, right, and Krugman is an economic genius------ Fuck off !!!!!