Ads Place 1222

Background Image

[t]he Next Time You Hear Serious-sounding People Explaining The Need For Fiscal Austerity, Try To Parse Their Argument. Almost Surely, You'll Discover That What Sounds Like Hardheaded Realism Actually Rests On A Foundation Of Fantasy, On The Belief That Invisible Vigilantes Will Punish Us If We're Bad And The Confidence Fairy Will Reward Us If We're Good. And Real-world Policy - Policy That Will Blight The Lives Of Millions Of Working Families - Is Being Built On That Foundation.

-Paul Krugman

Please Wait....
Translating....

[t]he Next Time You Hear Serious-sounding People

Paul Krugman

[t]he Next Time You Hear Serious-sounding People Explaining The Need For Fiscal Austerity, Try To Parse Their Argument. Almost Surely, You'll Discover That What Sounds Like Hardheaded Realism Actually Rests On A Foundation Of Fantasy, On The Belief That Invisible Vigilantes Will Punish Us If We're Bad And The Confidence Fairy Will Reward Us If We're Good. And Real-world Policy - Policy That Will Blight The Lives Of Millions Of Working Families - Is Being Built On That Foundation.

Views: 2

Topic

More From Paul Krugman

The Planet Will Continue To Cook.

In Short, It's A Great Economy If You're A High-level Corporate Executive Or Someone Who Owns A Lot Of Stock. For Most Other Americans, Economic Growth Is A Spectator Sport.

I've Always Believed That A Speculative Bubble Need Not Lead To A Recession, As Long As Interest Rates Are Cut Quickly Enough To Stimulate Alternative Investments. But I Had To Face The Fact That Speculative Bubbles Usually Are Followed By Recessions. My Excuse Has Been That This Was Because The Policy Makers Moved Too Slowly - That Central Banks Were Typically Too Slow To Cut Interest Rates In The Face Of A Burst Bubble, Giving The Downturn Time To Build Up A Lot Of Momentum.

Not All Private Equity People Are Evil. Only Some.

Governments Do Not Necessarily Act In The National Interest, Especially When Making Detailed Microeconomic Interventions. Instead, They Are Influenced By Interest Group Pressures. The Kinds Of Interventions That New Trade Theory Suggests Can Raise National Income Will Typically Raise The Welfare Of Small, Fortunate Groups By Large Amounts, While Imposing Costs On Larger, More Diffuse Groups.

Ads Place 3

Ads Place 2

Trending Author

George MacDonald

Nikos Kazantzakis

Category

Ads Place 4

Ads Place 5