Before voting for any politician in any American election, it might be instructive to check back on where they stood on economic policy in the aftermath of the 2008 financial collapse. The results are in and the proof conclusive: The U.S. rebounded so quickly because we invested in the country while Europe is still in a terrible spot because it chose austerity, which may have felt right but was decidedly wrong. Two exchanges follow from a Thomas Piketty Q&A with Julia Amalia Heyer and Christoph Pauly of Spiegel.

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Spiegel:

You publicly rejoiced over Alexis Tsipras’ election victory in Greece. What do you think the chances are that the European Union and Athens will agree on a path to resolve the crisis?

Thomas Piketty: 

The way Europe behaved in the crisis was nothing short of disastrous. Five years ago, the United States and Europe had approximately the same unemployment rate and level of public debt. But now, five years later, it’s a different story: Unemployment has exploded here in Europe, while it has declined in the United States. Our economic output remains below the 2007 level. It has declined by up to 10 percent in Spain and Italy, and by 25 percent in Greece.

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Spiegel:

What do you propose?

Thomas Piketty: 

We need to invest more money in training our young people, and in innovation and research. That should be the most important goal of an initiative to promote European growth. It isn’t normal that 90 percent of the world’s top universities are in the United States and our best minds go overseas. The Americans invest 3 percent of their GDP in their universities, while it’s more like 1 percent here. That’s the main reason why America is growing so much faster than Europe.

Spiegel:

The United States has a uniform fiscal policy. What conclusions can be drawn from that?

Thomas Piketty: 

We need a fiscal union and a harmonization of budgets. We need a common debt repayment fund for the euro zone, like the one proposed by the German Council of Economic Experts, for example. Each country would remain responsible for repaying its portion of the total debt. In other words, the Germans would not have to pay off the Italians’ old debts, and vice-versa. But there would be a common interest rate for euro bonds, which would be used to refinance the debt.•