Indeed, UK austerity has been so self-destructive that as the government savagely cuts with its fiscal policy, we have the Bank of England simultaneously engaging in quantiative easing with monetary policy
Note that the UK's dismal economic performance (and the dismal economic performance of all Western economies) comes despite permanent, near-zero interest rates. As I've observed in several previous commentaries, this is the economic equivalent of a defibrillator: a measure so extreme that it's only intended to be used briefly -- and only in the most dire emergencies.
Yet here we have the West's "economic doctors" perpetually frying all of these economies with this high-voltage emergency measure. Four, solid years of such reckless, mindless, shock treatment have done nothing but bring all of these economies to the brink of total collapse (with Greece already past that point).
Across the Pacific, China has normal interest rates. While it recently cut interest rates for the second time in two months, that only brought China's interest rate down to 6% -- higher than average, historical rates. China has to keep its rates this high, since in a global economy flooded with Western money-printing, its own economy immediately starts to over-heat if it takes interest rates below historical averages.Understand that interest rates are an absolute, unequivocal indicator of the health of an economy. High interest rates indicate an economy which is strong enough to "apply the brakes" to the capital inside that economy. Conversely, low interest rates indicate an economy which needs stimulus; where the economy is so anemic that attaching interest to capital is enough to drag the economy down all by itself.