Paul Krugman is still an idiot
“It’s time to admit that what we have now isn’t a recovery, and do whatever we can to change that situation,” Nobel Laureate Paul Krugman wrote in the New York Times on Friday.
You mean Krugman is actually right?!?!?
YES!
Well….no.
Krugman goes on: “The small sliver of truth in claims of continuing recovery is the fact that G.D.P. is still rising: we’re not in a classic recession, in which everything goes down.”
Yeah, that’s all of the government spending Mr. Krugman.
public domain pic from May 4 1916
“We need about 2.5 percent growth just to keep unemployment from rising, and much faster growth to bring it significantly down. Yet growth is currently running somewhere between 1 and 2 percent, with a good chance that it will slow even further in the months ahead. Will the economy actually enter a double dip, with G.D.P. shrinking? Who cares? If unemployment rises for the rest of this year, which seems likely, it won’t matter whether the G.D.P. numbers are slightly positive or slightly negative.”
If Mr. Krugman would not be so motivated to rewrite all of his erroneous predictions, he’d realize how INCREDIBLY WRONG he still is. Unemployment will rise because people are falling off of the government dole as their unemployment benefits expire. The government census workers are not in the unemployment pool, so that’s a surge to the numbers as well.
The reported unemployment has probably HALF of the actual figure.
Here’s where we see the same old ignorant Krugman: “In the case of the Obama administration, officials seem loath to admit that the original stimulus was too small. True, it was enough to limit the depth of the slump — a recent analysis by the Congressional Budget Office says unemployment would probably be well into double digits now without the stimulus — but it wasn’t big enough to bring unemployment down significantly.”
No, no, no….NO!
The best we did with the stimulus was use the money in the right pocket and put in our left one.
Stimulus doesn’t work.
The Obama administration “seems to loath to admit” that it was NEVER intended to work, only to buy “jobs” in Democratic districts. Bridges, research grants and high speed rail trains DO NOT BRING IN REVENUE, but create these expensive temporary band-aids.
But the same idiotic Keynesian economics that helped create this mess is what Krugman says we need more of: SPEND not SAVE. We need a massive, multi-trillion dollar stimulus package and encourage the American public to go out and SPEND, SPEND, SPEND.
What we need is to get the government OUT of everything. The Fed needs to eliminate the back door deal paying banks to sit on their cash and not lend to the private sectory. Trillions of dollars, essentially monopoly money, needs to be burned, eliminated, torched – whatever it takes to get dollar to mean something, backed by gold and not just useless paper.
Krugman supported the massive spending and still urges the government to spend more. I’d love to ask what happens when the bill comes due? How do we keep paying $100-200 billion per month in interest alone on our debt?
Facts like the debt doesn’t matter to Krugman and his fellow Keynesians – only their ideology.
photo: TaxRebate.org.uk
