ECB’s Trichet Calls For Spending Cuts and Tax Increases Across the Industrialised World

Public spending cuts and tax increases should be imposed immediately across the industrialised world as evidence of a healthy European recovery mounts, according to Jean-Claude Trichet, president of the European Central Bank. In a strident article for the FT, Mr Trichet argues that policymakers who want to prolong the stimulus are mistaken and that cutting borrowing would have “very limited” effects on growth. – The FT