Brussels, 07/01/2013 (Agence Europe) - A report by two International Monetary Fund (IMF) economists, Olivier Blanchard and Daniel Leigh, presented at the AGM of the American Economic Association on Friday 4 January 2013, reveals mistakes made in the calculation of the impact of austerity policies launched in 2010 on the economies, including those in Europe, implementing them.
The forecasts were based on a 0.5 multiplier for how reductions in public spending will affect a country's GD. In...