Snapshot of Eurozone inflation falls to 5.5% in sharp contrast to UK. Economists put reason for divergence down to Brexit and Britain’s energy price guarantee.

  • sunbeam60@lemmy.one
    link
    fedilink
    arrow-up
    10
    ·
    1 year ago

    This is a weird argument. The US, undoubtedly the world’s strongest economy, has a single central bank covering the Deep South and the coasts, which are also running at two different speeds. The job of Spain is to run a decent economy with no deficit, something they continually fail to do. Sure you can blame it on lack of central bank, but they’ve got other tools available for them as well.

    • emerty@feddit.uk
      link
      fedilink
      arrow-up
      2
      ·
      edit-2
      1 year ago

      So because the US has terribly performing states, that somehow justifies not being able to set your own monetary policy? That’s a weird argument.

      Maybe the reason Spain and all the other Southern European countries that struggle to run a decent economy is because the euro is set up to benefit the biggest manufacturers…

      • sunbeam60@lemmy.one
        link
        fedilink
        arrow-up
        4
        ·
        1 year ago

        Oh don’t worry they were struggling to do well before the euro. You could argue that being a euro member saved some of them during the crash.

        • emerty@feddit.uk
          link
          fedilink
          arrow-up
          1
          ·
          1 year ago

          No doubt. European austerity made it worse though post GFC. The US and China used a shed load more fiscal stimulus than the EU, and have added trillions of extra GDP as a result.