Paul Krugman: Bad Decisions Yield Grim Results in Europe

Just a few months ago Europe's austerians were busy congratulating themselves, declaring that a modest upturn in Southern Europe vindicated all their actions. But now the news is looking grim, with industrial production stalling out and good reason to fear yet another slide into recession. This comes as many, though not all, data points in the United States are suggesting stronger growth. So why has Europe done so badly?

I'm actually not too committed to any one story here; there are arguably several factors.