Europe already has a generous public sector, which provides all sorts of services for its citizens. And it already has a well built out rail system, along with green subsidies and gas taxes out the wazoo. So there’s no obvious European spending gap.
Thus it’s not surprising that our friends on the Continent aren’t crazy about the idea of undertaking a big, debt-fuelled stimulus as we’re doing here. Germany, Italy and France, in particular, think adding to the public debt load would increase instability (they’re right).
Not surprisingly, the UK, which appears to be more dire straits than any of them, and whose economy more closely resembles ours, would love to see a big effort to turn the economy around.
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