"Conservatives in both Europe and the United States have succeeded in casting government spending as reckless wastefulness that has made the economy worse, and have advanced a policy of draconian budget cuts--austerity--to solve the financial crisis. We are told that we have all lived beyond our means and now need to tighten our belts, but this view conveniently "forgets" where all that debt came from. Not from an orgy of government spending, but as the direct result of bailing out, recapitalizing, and adding liquidity to the broken banking system. Private debt has thus been rechristened government debt, and those responsible for generating it have got off scot-free, placing the blame on the state and the burden on the taxpayer."Read rest here.