Let the austerity backlash begin. Who knew that an excel error could cause so much social strife. Granted common sense would have got you there, but this is politics. German Finance Minister Schaeuble warned on Tuesday that unless Europe wins the battle against youth unemployment, revolution is a distinct possibility.
The dreaded r-word came about as some corners push to reform the welfare standards to closely correlate with American standards. This would be a monumental mistake according the German finance minister. Youth unemployment as it stands now across the EU is at 25%, double the rate of older citizens.
Granted the youth unemployment picture here stateside is not exactly the best. Most of the job creation in recent months have gone to the older populace with the younger generation looking more and more like a carbon copy of an EU nation.
The solutions to the problem are not known, but the central banks willingness to continue the QE policies that have failed to generate any real job growth. If you broke down the amount injected by QE and applied it on a per job it works out to $500k per job created. Enough to give a person a 50k a year salary for ten years. Which is the better model, Dow 15k or systemic unemployment? Not really a trick question.
Full article: German Finance Minister Schaeuble Warns of Revolution (Trade Newsroom)