Dan Mitchell’s educational video on stimulus spending, and why a second stimulus would be disastrous.
Posts Tagged ‘Stimulus’
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.
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.
Why Economic Stimuli Don’t Work
There are already talks of a second stimulus package. This will only bring about greater poverty and greater illusion of recovery. The future remains bleak for world prosperity.
Interesting Graphs on Fiscal Spending and Economic Growth
Here are a collection of graphs showing the relationship between fiscal spending and economic growth. They are from different articles I have read on the internet and from a presentation given by Dan Mitchell, given during Cato University 2009. Although I won’t give a more specific argument against fiscal spending in this post, I am open to comments about it and am willing to reply.
False Hopes in Unemployment
It seems surprising that a publication with the reputation of the Economist would include itself amongst the dozens of sources which suggest that a slight drop in unemployment figures signals the near-end of the recession. First, the economist who wrote that article obviously has not studied the history of unemployment during the Great Depression, because if he had he would have been more wary of making such proclamation without stronger evidence to support his thesis.
A Critique of the Mechanistic Monetarist Version of the Quantity Theory of Money
Spanish Austrian economist Jesús Huerta de Soto critiques the Monetarist “quantity theory of money”.
The Depression is Not Over
On Friday, 17 July, MSNBC reported that the “recession is slowing” in twenty-three major urban centers throughout the United States. They equate a slowing recession with a “bottoming out” economy. These trends show that early signs of recovery, or more accurately “bottoming out” (recovery begins only after the markets have cleared), can be deceiving. The United States’ economy is still clearing, and it has a long ways to go.
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.