Imo the case for austerity was always pretty weak, but it is now almost definitely causing much more harm than good.
The problem is that politicians all around the developed world (nobody more so than Cameron and Osborne) have invested so much political capital into austerity, that there is no way for them to turn away from it without admitting they have made a string of absolutely shocking decisions, that have had disastrous consequences.
I have no idea why Labour aren't absolutely nailing the conservatives with this. All I can think is that they don't back themselves to be able to convince the public with facts and evidence, vs the Tories 'common sense' soundbites of: belt tightening, maxing credit cards etc.
Quote ="Ferocious Aardvark"As "austerity" measures have proved an utter and complete disaster across the whole of Europe, can someone give me at least a superficially plausible reason why anyone might expect such measures might ever work?'"
The confidence fairy. If only the government wasn't spending so much money (risking turning us into the new Greece), then big business would have the confidence to spend and invest again, and that would lead to a private sector lead recovery like the one we're going through now... oh wait.