The End of the European Social Model

The Wall Street Journal
May 28, 2010

The spending cuts keep on coming. In fact they are becoming the height of European fashion. Spanish parliamentarians are just the latest to join in, this week approving a €15 billion ($18.4 billion) austerity package aimed at cutting the country’s deficit. It was a tight squeeze for the Socialist government, winning the key vote by one. But a win is a win, and the result means cuts of 5% or more in civil-service pay, the end of the automatic payment to parents of newborn children and big cuts in spending on public projects.