The Failure of Economics

Discussion in 'Economy' started by Toro, Sep 7, 2009.

  1. Toro
    Offline

    Toro Diamond Member

    Joined:
    Sep 29, 2005
    Messages:
    60,539
    Thanks Received:
    12,569
    Trophy Points:
    2,180
    Location:
    The Big Bend via Riderville
    Ratings:
    +38,669
    A great read by Paul Krugman. A few exerts below.

     
    • Thank You! Thank You! x 1
  2. CrusaderFrank
    Offline

    CrusaderFrank Diamond Member

    Joined:
    May 20, 2009
    Messages:
    89,032
    Thanks Received:
    16,272
    Trophy Points:
    2,220
    Location:
    NYC
    Ratings:
    +48,617
    Paul Krugman is a perfect contra-indicator. He's the Wrong Way Corrigan and Professor Backwards. I have never read a guy more out of touch with reality and so totally wrong about economics.

    HOW DO YOU HAVE "FREE MARKETS" WHEN YOU HAVE CRA, FREDDIE AND FANNIE DICTATING WHAT BANKS MUST LOAN?

    HOW DO YOU HAVE FREE MARKETS WHEN DEMOCRATS CONTINUE TO STEER FREDDIE AND FANNIE OFF THE CLIFF TAKING THE US HOUSING MARKET DOWN WITH THEM?
     
  3. Toro
    Offline

    Toro Diamond Member

    Joined:
    Sep 29, 2005
    Messages:
    60,539
    Thanks Received:
    12,569
    Trophy Points:
    2,180
    Location:
    The Big Bend via Riderville
    Ratings:
    +38,669
    Last edited: Sep 7, 2009
  4. del
    Offline

    del BANNED

    Joined:
    Sep 3, 2008
    Messages:
    45,052
    Thanks Received:
    9,826
    Trophy Points:
    0
    Ratings:
    +9,893
    "if you laid all the economists in the world end to end, they still wouldn't reach a conclusion."- author unknown (to me, anyway)
     
    • Thank You! Thank You! x 1
  5. Shogun
    Offline

    Shogun Free: Mudholes Stomped

    Joined:
    Jan 8, 2007
    Messages:
    30,518
    Thanks Received:
    2,228
    Trophy Points:
    1,045
    Ratings:
    +2,311
    Toro, you may recall how I feel about free market capitalistas and their quickness to be wrong while clinging to theoretical bullshit as justifications for errors. I'm glad to see that it's possible for some to see the flaw in such blind pompousness after all.
     
  6. Toro
    Offline

    Toro Diamond Member

    Joined:
    Sep 29, 2005
    Messages:
    60,539
    Thanks Received:
    12,569
    Trophy Points:
    2,180
    Location:
    The Big Bend via Riderville
    Ratings:
    +38,669
    Empiricism > ideology
     
  7. CrusaderFrank
    Offline

    CrusaderFrank Diamond Member

    Joined:
    May 20, 2009
    Messages:
    89,032
    Thanks Received:
    16,272
    Trophy Points:
    2,220
    Location:
    NYC
    Ratings:
    +48,617
    • Thank You! Thank You! x 1
  8. del
    Offline

    del BANNED

    Joined:
    Sep 3, 2008
    Messages:
    45,052
    Thanks Received:
    9,826
    Trophy Points:
    0
    Ratings:
    +9,893
    "in the long run, we're all dead"- j.m. keynes
     
  9. Big Black Dog
    Offline

    Big Black Dog Gold Member Supporting Member

    Joined:
    May 20, 2009
    Messages:
    23,145
    Thanks Received:
    5,259
    Trophy Points:
    270
    Ratings:
    +6,333
    Things are tough all around. Mrs. BBD failed to hand over my allowance this week... If she doesn't come across pretty soon I'm going to have to start pulling some funds out of my "secret sock" that I keep hidden behind the War and Peace book on the bookcase in the library. I move the "secret sock" every week to a new location so none of you bozos try to sneak in on me and leave me "sockless".
     
  10. Kevin_Kennedy
    Offline

    Kevin_Kennedy Defend Liberty

    Joined:
    Aug 27, 2008
    Messages:
    18,020
    Thanks Received:
    1,612
    Trophy Points:
    205
    Location:
    Ohio
    Ratings:
    +2,172
    "They turned a blind eye to the limitations of human rationality that often lead to bubbles and busts" - Krugman

    This quote has me confused. Krugman called for the Fed to create a housing bubble after the dot-com bust to pull us out of the recession, but now he implies that irrationality in the market creates bubbles? Since the Federal Reserve is the anti-thesis to the free market how does Krugman come to this conclusion?

    I think Jeffrey Tucker of the Mises Institute had an interesting response to this article.

    You don't want to read this - Mises Economics Blog
     

Share This Page