>Germany for example is not doing all the bad, neither is the Netherlands. The main problem we've got here are the southern countries that have significant economic problems. They can't use the old technique of printing money and devaluating their own currency as they use the euro. This is a significant challenge the UK and US are not facing.

needing 2% new debt when the economy is growing at 3%
(which is rather good even considering the heavy breaking 2008/2009)
is not really "good" - when would be the time to actually *reduce* the deficit if not in such times ?
And don't forget that there are some risks from a debt cut which are not factored in currently,
as well as some risks hidden in the bad banks the gov created to "solve" the mess in the gov owned banks
(whith the addition of one private bank mostly and another large private bank being not too stable
and quater-gov owned by now)

But you are entirely correct about the many cooks scenario added to the pot ;-)

regards

thomas