The financial ice, that is — the support for the welfare state’s limitless promises. So argues Gary North here.
Here’s the essence of the problem: “Politicians will heed the desire of domestic voters, who want goodies from the government. The voters will not get goodies; they will get depreciating money.” That will be true both in Europe and in the U.S.
North also includes (toward the end of the piece) an excellent demolition of Keynesian thinking about government debt.
