%0 Generic %A Ji, Y %A Paul, DG %D 2013 %F discovery:10053745 %I Centre for Economic Policy Research (CEPR) %T Panic-driven austerity in the Eurozone and its implications %U https://discovery.ucl.ac.uk/id/eprint/10053745/ %X Eurozone policy seems driven by market sentiment. This column argues that fear and panic led to excessive, and possibly self-defeating, austerity in the south while failing to induce offsetting stimulus in the north. The resulting deflation bias produced the double-dip recession and perhaps more dire consequences. As it becomes obvious that austerity produces unnecessary suffering, millions may seek liberation from ‘euro shackles’. %Z This version is the version of record. For information on re-use, please refer to the publisher’s terms and conditions.