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Tag Archives: Stimulus
Austerity in Germany
Germany may not be as good a case for austerity as we are led to believe. Continue reading
Perpetual Depression
Once the supply of money more or less stabilizes (once malinvestment has been liquidated), and prices adjust, a true recovery can take place. Continue reading
Sure, Evidence Looks Keynesian If That’s How You Doctor It
In his most recent op-ed, “That ’30s Feeling”, Paul Krugman draws parallels between current calls for austerity and the Germany of the 1930s. This time, factual history is against Krugman’s thesis. Germany’s collapse in the early 1930s was hinged on debt and the inability of their central bank to pay for it. Continue reading
Posted in History
Tagged debt, Depression, fiscal, Germany, Government, Great, Krugman, Stimulus
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Irrelevance of Fiscal Austerity
Krugman remains bewildered at the G20’s call for fiscal austerity by pointing out that slashing stimulus spending is not bound to have a major impact on debt growth and that such a policy could have long-term harmful side effects. The latter concern is legitimate, at least if you believe that Keynesian countercyclical fiscal policy is the correct prescription for our current recession, but I feel that Krugman leaves out a few key details. Continue reading
Posted in Current Events, Theory
Tagged austerity, countercyclical, debt, fiscal, Krugman, policy, Stimulus
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Stimulating Confusion
Stiglitz on global stimulus. Continue reading
Bernanke Risks Stirring the Pot
Ben Bernanke supports low interest-rates, but not government spending. Continue reading
Dan Mitchell on Stimulus Spending
Dan Mitchell’s educational video on stimulus spending, and why a second stimulus would be disastrous. Continue reading
On Unemployment and Industrial Restructuring
Krugman, once again, fails to take into all the factors in his mental calculations. This time he fails to make an objective critique of Schumpeter’s and the neo-classical theory on unemployment and fiscal spending. Continue reading
Posted in Theory
Tagged Classical, fiscal, Government, Keynesian, Krugman, Neo-Classical, Schumpeter, spending, Stimulus, Unemployment
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Neither Keynes nor Friedman
The Federal Reserve did try to bailout banks during the Great Depression, Hoover did outspend every prior president in an attempt to stimulate the economy and no recession is caused by a drop in aggregate demand. These are Keynesian myths. Continue reading
Krugman on Stimulus Size
An argument that theory has always, and will always, be superior to empiricism, as a response to Krugman’s most recent blog post. Continue reading →