2008 was a turning point in contemporary history. On the one hand, China celebreated her economic rise during the Beijing Olympics; on the other, the West plunged into a disastrous financial crisis that is still far from over. The dilemma, which is as old as economics itself, was revived: what is the role of the state in the economy? And what is the best economic policy? When the financial crisis gave rise to the Euro crisis, the answer that most experts gave was that governments which had spent too much in the past now had to cut spending drastically. Furthermore, they had to privatise, liberalise, deregulate, and make the labour market more flexible. The result of four years of austerity and budget consolidation in the countries hit by the 2008 crisis has been disastrous. After half a decade of spending cuts, the economies of Southern Europe have been devastated. By October 2013, Greek unemployment figures reached 27.8%, and by the end of last year, GDP had shrunk by ne