Stimulus comes and goes, as it should. The fact that it creates some drag when it departs is fine, as long as we get the timing right. The problem is when you screw up the timing, and that's what it looks like we're doing -- again.
You might have heard that "austerity is dead." Meanwhile we have two real problems to worry about: unemployment and crumbling infrastructure.
In the wake of government stimulus in response to the Great Recession, many of us working in cleantech and energy efficiency have wondered: what is th...
IRS shenanigans aside, there are plenty of things being done right now in D.C. that will likely affect your business and mine over the next few years.
One common argument is that while Keynesians rightly call for temporary deficit spending to offset private sector contractions, politicians ignore the temporary part.
As Europe reminds us, it prevents recession-battered economies from growing. The alternative is to prime the economic pump by having governments engage in fiscal and monetary stimulus.
Republicans want to kill the government that accomplished that. They want to go back to Downton Abbey days. The rich stay rich; the poor stay servants.
Imagine that a substantial group of the most prominent astronomer insisted that the sun goes around the earth, as anyone can plainly see. There would likely be huge numbers of people who refused to accept that the earth goes around the sun. This is the state of modern economics.
It is therefore somewhat amazing that the last 40 years of experience, and the trillions and trillions of dollars spent, have done nothing to alleviate poverty. Which begs the question, have anti-poverty programs supported by Republicans and Democrats for decades been a colossal failure?
According to an aide present at the weekend retreat, Rep. Paul Ryan brought a version of John Maynard Keynes treatise, The General Theory... as a joke. "He thought he'd crack Eric and John up, but a funny thing happened when they started flipping through the book," the aide said.
For a three-month period, every American will get a perfect credit score, and the federal government will guarantee all loans made as a result of this "score stimulus."
The American people don't serve Paul Ryan. They're not "The Help." He's "The Help." And right now, by demanding austerity that Americans already rejected, Paul Ryan is back-talking the boss. It's insolent, insubordinate and disrespectful.
The fact that government devotes too much to Social Security is no argument for spending too much on the military. With the threat of runaway deficits, debts, and interest payments, the U.S. cannot afford any budget sacred cows.
We need active industrial and social policy on an ambitious scale if we are ever to put this economy back onto the high-investment, high-wage growth trajectory from which the Reagan years took us away.
The U.S. has not had a budget in four years. As the country increased the national debt by about $5 trillion in deficit spending, it never went over budget. Ridiculous, no?
The wealthy are well represented, as is their worry over a potential raise in their tax rate. The media largely ignore the poor and the unemployed, however, those most suffering in the economic climate.