from NYT:
For many years, unemployment in the United States was lower than in Western Europe, a fact often cited by people who argued that the flexibility inherent in the American system — it is easier to both hire and fire workers than in many European countries — produced more jobs.That is no longer the case. Unemployment in the United States has risen to European averages, and seems likely to pass them when international data for April is calculated.
“The current economic crisis,” wrote John Schmitt, Hye Jin Rho and Shawn Fremstad of the Center for Economic and Policy Research, a research organization in Washington, “has turned the case for the U.S. model almost entirely on its head.”
To the contrary. What used to be the U.S. model worked. But we have now adopted the European model over the past two years. Therefore, we should expect similar results -- and we're getting them!
