Krugman's very very simple solution to end this depression

[itfitzme]

He says very very clearly in his book that the government should spend money exactly like it did when WW II started to end this current depression the way it ended the Great Depression.

Bullshit. You couldn't present honest info if your life depended on it.

 

[itfitzme]

I thought we were told that the recession ended just 3 months after Obama took office?

It did. The recession is the period of time when the GDP is decreasing. There is no official term for the trough. Unemployment always peaks after the recession has ended.

The National Bureau of Economic Research are the guys that decide if it's a recession.

There is no official definition for "depression".

 

[Mad Scientist]

He says very very clearly in his book that the government should spend money exactly like it did when WW II started to end this current depression the way it ended the Great Depression.

Does any liberal dare to think that by producing about 100 million planes tanks ships heavy weapons and tanks that it would help rather than hurt our economy??

Certainly you don't think he meant actually building weapons, do you?

Obama would have to ask for a Declaration of War. He's already on record as having said he didn't need that.

 

[itfitzme]

This seems to be Krugman's summary of his ideas set forth in his book;

How to End This Depression by Paul Krugman | The New York Review of Books

To answer that question, it would be helpful to find natural experiments telling us about the effects of government spending under conditions more like those we face today. Unfortunately, there aren’t any such experiments as good and clear-cut as World War II.

No where does he say that we should increase defense spending.

 

[expat_panama]

This seems to be Krugman's summary of his ideas set forth in his book;How to End This Depression by Paul Krugman | The New York Review of Books...

...all we need is to reverse the austerity policies of the past couple of years and temporarily boost spending.

Amazing.

The past two years of trillions of dollars in new spending and record deficits is what Krugboy calls "drastic cuts in spending" and a "sever and rigid economy".

 

[itfitzme]

This seems to be Krugman's summary of his ideas set forth in his book;How to End This Depression by Paul Krugman | The New York Review of Books...

...all we need is to reverse the austerity policies of the past couple of years and temporarily boost spending.

Amazing.

The past two years of trillions of dollars in new spending and record deficits is what Krugboy calls "drastic cuts in spending" and a "sever and rigid economy".

Did you adjust for population growth and inflation?

 

[ERGO]

Very few know about the Federal Reserve's "other" phone number. You know, the one reserved for those in the innermost ring of power. Someone gifted me the number, and I found it offered up the most curious menu of choices:

Greetings. Please select one of the following options.

The Working Group for Global Domination does not exist. Members please press 1.

If you are a European leader seeking a secret bailout, please press 2.

If you are Chinese leader seeking assistance purchasing another Beverly Hills mansion with cash, please press 3.

If you are a domestic banker seeking another tranch of our $29 trillion in backstop funding, please press 4.

If you represent one of our proxy trading desks, please press 6 for your S&P 500 futures purchase instructions. As a reminder, please trade your own account via black pools.

If you would like today's target for the S&P 500 and Treasuries to assist in trading your own individual account, please press 7.

For bulk purchases of Hopium and/or Delusionol, please press 8.

Curious, indeed. America's privately owned central bank is an enchanted world, to be sure, where shadow systems do not officially exist, where blatant manipulation of the stock market is denied, and where global bankers get preferential treatment of all their needs.

In this shadow system, democracy, accountability and transparency do not exist. Within the innermost ring of power, democracy is merely the necessary illusion maintained for the psychological benefit of the easily distracted debt-serfs.

As long as they believe in democracy, social mobility and the supremacy of American might, they are happy to while away their time playing or watching mindless games. It's the perfect setup for easy control.

The Paul Krugman school of economics solution to a massive DEBT problem is to create MORE DEBT!

 

[ilia25]

He says very very clearly in his book that the government should spend money exactly like it did when WW II started to end this current depression the way it ended the Great Depression.

Does any liberal dare to think that by producing about 100 million planes tanks ships heavy weapons and tanks that it would help rather than hurt our economy??

Yes, building weapons will help a depressed economy to recover:
* Economy is depressed because everyone in private sector tries to save, thus lowering everyone's incomes
* Rising government spending will encourage private sector to increase spending as well -- that is how multiplier works.

Why is this concept so hard to understand?

 

[The Rabbi]

He says very very clearly in his book that the government should spend money exactly like it did when WW II started to end this current depression the way it ended the Great Depression.

Does any liberal dare to think that by producing about 100 million planes tanks ships heavy weapons and tanks that it would help rather than hurt our economy??

Yes, building weapons will help a depressed economy to recover:
* Economy is depressed because everyone in private sector tries to save, thus lowering everyone's incomes
* Rising government spending will encourage private sector to increase spending as well -- that is how multiplier works.

Why is this concept so hard to understand?

Because there is no multiplier. Robert Barro calculated the "multiplier" of the stimulus. And the number was well below 1.

 

[TakeAStepBack]

Exactluy. this dumb chumps clamoring and ideas CAUSED the crisis in the first place (not alone mind you, but he was one of the great proponents of lowered interest rates and programs to blow up a housing bubble). Anyone who even begins listening to this moron on economic advise is begging for another disaster. His school of thought needs to be put to bed for good. Those in the know are already aware that this man, and his type...Bernanke, etc...have not a clue about sound economic policy. They are economy destroyers and should be barred from any access to public media, politicians or central banking authorities.

 

[TakeAStepBack]

He says very very clearly in his book that the government should spend money exactly like it did when WW II started to end this current depression the way it ended the Great Depression.

Does any liberal dare to think that by producing about 100 million planes tanks ships heavy weapons and tanks that it would help rather than hurt our economy??

Yes, building weapons will help a depressed economy to recover:
* Economy is depressed because everyone in private sector tries to save, thus lowering everyone's incomes
* Rising government spending will encourage private sector to increase spending as well -- that is how multiplier works.

Why is this concept so hard to understand?

So debt is good is what you're saying? Jeebus, it is absolutely no wonder people are fucked financially.

Furthermore, paying down debt is not saving. That is what the private sector is doing, paying off, dumping or bankrupting their way out of debt. In dumping, it is being done onto the taxpayers through govt. "bailouts" and programs. Which is why you'll see reports saying that public debt is down, but the govt. is incurring massive amounts of debt. it's a load shift and it's building another bubble.

In massive debt? Spend your way to wealth!!!

 

[Avorysuds]

He says very very clearly in his book that the government should spend money exactly like it did when WW II started to end this current depression the way it ended the Great Depression.

Does any liberal dare to think that by producing about 100 million planes tanks ships heavy weapons and tanks that it would help rather than hurt our economy??

Krugman is a Nobel liberal but not a soul will dare defend the pure stupidity of his liberalism which is now everyone's liberalism.

Krugman is great because he's the best they got and even the common liberal knows in his heart that Krugman is a liberal and so that liberalism is nutty.

Just had to check your post, to see if it is the normal tea party dogma. And sure enough, it is. Normally cons argue that the great depression ended because of WWII. Which it did, actually. Unemployment had been going down. But World War II was the ULTIMATE in stimulus spending. Put everyone to work. So, yes, there is no doubt that putting people to work on that scale would end the unemployment issue.

At any rate, ed, you have given us an odd choice. Believe a Nobel prize winning economist, or believe you. My money is on the big guy. (In case you are wondering, you are not the big guy).

Stupid posts are stupid.

Spending on a stimulus is not the same as taking 10% of the population and sending them to war to die... Take a guess at what 10% went to war, the employed or UE...

 

[ilia25]

He says very very clearly in his book that the government should spend money exactly like it did when WW II started to end this current depression the way it ended the Great Depression.

Does any liberal dare to think that by producing about 100 million planes tanks ships heavy weapons and tanks that it would help rather than hurt our economy??

Yes, building weapons will help a depressed economy to recover:
* Economy is depressed because everyone in private sector tries to save, thus lowering everyone's incomes
* Rising government spending will encourage private sector to increase spending as well -- that is how multiplier works.

Why is this concept so hard to understand?

Because there is no multiplier.

I just showed you that there is.

As for some idiot's calculations, they cannot be precise -- GDP is affected by many things, not just the government spending.

 

[ilia25]

He says very very clearly in his book that the government should spend money exactly like it did when WW II started to end this current depression the way it ended the Great Depression.

Does any liberal dare to think that by producing about 100 million planes tanks ships heavy weapons and tanks that it would help rather than hurt our economy??

Certainly you don't think he meant actually building weapons, do you?

He did, and he was right. It does not matter what the government spending on as long as it creates enough jobs and to make people and companies spending more as well.

 

[TakeAStepBack]

So the government should borrow another 800 billion dollars from China to pay people to dig holes and fill them back in? Is this what the left calls sound economic activity? How about the govt. just borrow 5 trillion from China and pay everyone out who is unemployed? Say a 50K stimulus check? That way they will spend money and that will stimulate the economy. Even if the govt. adds an additional 5 trillion, plus interest, to the national debt.

It's as if people are taking crazy pills. It's sheer madness.

 

[ilia25]

He says very very clearly in his book that the government should spend money exactly like it did when WW II started to end this current depression the way it ended the Great Depression.

Does any liberal dare to think that by producing about 100 million planes tanks ships heavy weapons and tanks that it would help rather than hurt our economy??

Yes, building weapons will help a depressed economy to recover:
* Economy is depressed because everyone in private sector tries to save, thus lowering everyone's incomes
* Rising government spending will encourage private sector to increase spending as well -- that is how multiplier works.

Why is this concept so hard to understand?

Furthermore, paying down debt is not saving.

When everyone tries to pay down their debt, everyone's income is falling, thus increasing, not lowering the debt burden. Google "debt deflation".

 

[expat_panama]

... two years of trillions of dollars in new spending and record deficits is what Krugboy calls "drastic cuts in spending" and a "sever and rigid economy".

Did you adjust for population growth and inflation?

Not sure if you're making a joke here. I mean, as if what Krugboy said would be different depending on population and inflation...

 

[ilia25]

So the government should borrow another 800 billion dollars from China to pay people to dig holes and fill them back in? Is this what the left calls sound economic activity?

Yes, it is. When economy is depressed virtue become vice. Everyone tightening their belts will only make things worse.

And this is not such a difficult concept to understand, yet you DO have to possess some brain matter in order to achieve that understanding. The problem with people like you is that you can't think beyond bumper sticker slogans.

And that is the ultimate reason we have this depression.

 

[TakeAStepBack]

Rightfully so. If you borrow way beyond your means eventually the fucking tab comes due. So you have less to spend now because you were frivilously wasting income prior. This is simply a fact of life. Credit is not savings. Credit is credit. It is available as borrowing, not something you have locked away in the safe. I have a 50K credit line. That does not mean I have a 50K savings line. It's proposterous.

If you're paying down debt, then your income is lower. This tightens the belt the way it should. Debt deflation, like deflation, is not the enemy of the economy. Deflation is natural, while inflation is not.

 

[Truthmatters]

He says very very clearly in his book that the government should spend money exactly like it did when WW II started to end this current depression the way it ended the Great Depression.

Does any liberal dare to think that by producing about 100 million planes tanks ships heavy weapons and tanks that it would help rather than hurt our economy??

Krugman is a Nobel liberal but not a soul will dare defend the pure stupidity of his liberalism which is now everyone's liberalism.

Krugman is great because he's the best they got and even the common liberal knows in his heart that Krugman is a liberal and so that liberalism is nutty.

dear fucking idiot.

FDR was improving the economy BEFORE WWII.

its in the numbers of history.

Your historically failed ideas have never worked in history.

even in the 8 years of Bush it didnt work.

It caused the crash and the American people agree with that.

You wnat to reuse ideas that failed this country in a massive way.

why?