Strict austerity policies (government spending cuts and higher taxes) have been the main lever used to try to reverse soaring debt loads in many so-called “peripheral” European countries. This approach has been pushed by the economically stronger eurozone members in the North (particularly Germany) and the International Monetary Fund. But exhaustion with this strategy — sometimes labeled “expansionary fiscal contraction” — has been building, and it is increasingly viewed by many as a failed effort because it has crippled growth and fueled more unemployment. Deep public spending cuts have led to a drop in private spending, all of which have become a huge drag on eurozone economies and pushed several countries — including Spain, Italy, the United Kingdom, Portugal and Greece — into double-dip recessions.…