The Organization for Economic Co-operation and Development deconstructs the false “stimulus” mirage

We are More than twenty international organizations have analyzed the overall picture of the Spanish government’s budgetsAnd not little by little. Spain won’t recover its 2019 GDP until 2024, our last economy for comparison, and it will do so with the highest unemployment rate in the OECD, a debt of 113% of GDP and a deficit of at least 3.7%, according to the OECD. . These assumptions, which have no value, once again reminded us of the utter failure of the Keynesian double mirage. I put it in quotes because if Lord Maynard Keynes saw what was done in his name he would spring out of his grave like a walking dead zombie to eat those who use his name to cause financial and monetary imbalances.

Let’s be serious. If the monetary and fiscal stimulus implemented in 2020 are minimally effective, today’s advanced economies – with the invasion of Ukraine including – should grow at double the rate of their trend. The OECD estimates are particularly worrisome, because the result is higher inflation, lower growth, more debt and less dynamism … If these stimuli work, the sharp increase in commodity prices is mitigated by the dynamism of higher growth generated by the inverted quantity Already. Return on capital employed is important and here it turns out to be zero.

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