In yet another speech at the Davos World Economic Forum today, investor George Soros has said that the Eurozone is caught in a “spiral of decline” and if the member nations don’t take some immediate action, things will get worse.
Soros said that the Eurozone needs to restructure and then it needs to offer enough economic stimulus to get the economy growing again. He has no patience for austerity, which in his view cripples GDP growth and reduces a nation’s ability to repay its debts.
As we noted earlier, German Chancellor Angela Merkel today reiterated her support of an initiative among Eurozone nations to require member nations to enact a debt ceiling in each nation’s constitution. Soros did not have to say what he thinks of that idea.