"cuts that will slow growth and increase unemployment"
How can Paul Krugman be so sure? His entire argument against cuts is based on the presumption that any cut will slow growth...but what if he is wrong? The macroeconomy is an extremely complex system, yet Paul Krugman claims to understand that if the government cuts ANY form of spending it will reduce economic growth and increase unemployment. How can he be so sure?
Krugman doesn't know if cutting spending will lead to short term pain and long term prosperity, or vice-versa. No one really knows the answer to that, however I find it hard to believe that the government can burden us with insane amounts of debt and simultaneously spend (or "invest" per Obama's SOTU and subsequent rhetoric) our nation back into prosperity.
Krugman's intellectual arrogance sickens me. "The greatest enemy of knowledge is not ignorance, it is the illusion of knowledge." And I don't think Krugman would describe himself as economically ignorant.
"The curious task of economics is to demonstrate to men how little they really know about what they imagine they can design." - F.A. Hayek
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ReplyDeleteCut spending and increase employment? Impossible, you say?
ReplyDeletehttp://www.speaker.gov/blog/?postid=224851
My economics teacher Michael Marlow is listed as one of the 150 economists...thanks for sharing!
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