The Chart That Debunks Everything The Germans Believe About The Crisis

Paul Krugman is giving a talk in Paris, and he’s put up several charts that he says are key to understanding the Eurozone crisis.

This one may be the best, as it debunks the idea that the PIIGS — called the GIPSIs in this chart — were running up debt like crazy.

They weren’t. They had declining ratios, which only exploded once the financial crisis hit.