... the growing sentiment that there is not a lot a government can do at present because the state of the world economy is so poor is incorrect. It is in partnership with those who are still trying to push the “fiscal contraction expansion” myth in creating untold damage around the world.
The latest labour market data from Europe is terrible and many nations are approaching Great Depression like outcomes.
The fact is that all sovereign governments have the capacity to restore spending growth in their economies which will drive employment growth and reduce joblessness. The only missing element is the willingness to use that capacity.
The lack of will is entirely due to ideology. The neo-liberals are hanging onto their dominant position as the unemployment queues continue to build.Read it at Bill Mitchell — billy blog
The US government have total control over domestic policy
by Bill Mitchell
Bill sums it up.