The IMF Is Critical Of Fiscal Policy In The UK and US

The IMF has a well earned reputation for championing fiscal responsibility.  It has recently been critical of austerity measures during the recovery from recessions in Europe and the US.  It argues that monetary policy has been helpful but that its effects have been counteracted by the focus on fiscal contraction.  The IMF report singled out fiscal policy policy in the UK and the sequester in the US as prime examples of the improper use of austerity in weak economies.