Really? Then why is the Euro shitting the bed, while the dollar is rallying?
yes, china went into a substantial economic slowdown. But they don't borrow to fund their entitlements like the U.S., France, Greece, Italy, etc etc.
Socialism is failing.
Capitalism is struggling, but not failing.
1 + 1 = 2.
if you quote the Euro, Pound and US Dollar against a basket of other major currencies, such as the Swiss Franc, the Japanese Yen, Korean Won, HK Dollar, Australian Dollar, and Indian Rupee; the EURO, Pound and US Dollar have devaluated. this is due to a variety of different reasons, but primarily its to do with follows of money out of these countries to 'safer' markets. all these currencies has depreciated not due to their debt or anything of that nature, but by the lower growth projections and stagnation in these economies. the worry with Europe is there hasn't been the growth, much like the US, and in some countries the fiscal position is worse, in some better than the US. to claim a nation is socialist because it has high debt and is a risk at default is just wrong.
It's not a failure of capitalism or socialism, or a bend of the two. (i believe quite seriously neo-liberalism is just stupid, applying economic models to things which are inelastic, such as uni research dollars; aside from the point)though that's my public policy opinion.
it's not a failure of any particular system, look to the French situation, aside from Australia, it has been the Best performing country in the OECD in the economic downturn - caused by none other than US neo-liberal economic policy applied to financial markets.
regulation and maintaining the automatic stabilisers (unemployment payments, education, health) is the key to stability, along with stimulatory public works which as railways, ports, electricity grids, telecommunications, water, sewerages, roads). Another great stimulating area, yet almost always overlooked by governments is research in universities; there new growth technology can be refined.
