They're spending on different things, e.g. bailing out banks, which has the net effect of less spending for investments/services/wages.

how me the countries in Europe that have substantially reduced government spending over the last six years. In fact, spending as a % of GDP has increased.> Show me the countries in Europe that have substantially reduced government spending over the last six years.

>In fact, spending as a % of GDP has increased.

Because e.g. in Greece, GDP shrank over 30% in the last 5 years. Have you ever looked at the things a country spends its taxes on? How should it out-save it shrinkage without destroying the very infrastructure it's economy needs to flourish?

> cato.org

Cato is good PR agency, but you should not take them seriously on anything economics-related. Just look who works there, I wasn't able to find a single phd in economics there, only public relations staff (people who studied politics, sociology etc, practically no one who actually did research in any field before working there).