Hard Times Are Bad for Democracies


I would put it a bit differently: financial crises call into question whether respectable people know what they’re doing, in a way that other kinds of economic shocks often don’t.

The point for Europe is that the doctrinaire policies followed since 2010, and the unwillingness to rethink dogma in the light of experience, aren’t just economically destructive. They undermine the legitimacy of the whole European system, and may in the end lead to political catastrophe.



As I said a while back:

Bad times aren't good for nascent democracies. We see how this played out pre-WWII. I'd be very concerned.