Europe is slowly receding. Besides japan, it will have the lowest GDP growth of any developed nations for the next 15-20 years.
Agree. It is a very tricky problem, and they have not put their finger on it, what to do exactly. If they knew, their economies would not be this stagnant.
Some of the European states never fully recovered from the 2008 financial crisis.
Sorry to say, I forgot most the Marxism I have read, because those were theories, and not something to practice for someone like me who is just trying to survive. I am not the government implementing grandiose policy or whatever.
What I remember is the debt starts to overwhelm.
Capitalism needs debt to expand. So they keep borrowing. But it gets to a point, where more debt, does not produce the same amount of output as before. The law of diminishing returns in effect.
We see it happen to companies listed on the stock exchange. Their balance sheets shows that the company is so indebted, that all profits go to debt servicing and not R&D for instance. The same happens to countries, particularly the ones in Latin America 30-40 years ago, and still happens recently maybe.
Seems like that is several European countries nowadays.
Okay, this rant is a little too long already.
Two things to keep in mind about the debt, and that is 1) which currency it is in matters; a government that owes the debt in your own currency then that is mostly okay, and 2) the possibility of growing out of the debt.