Unprecedented Austerity by Krugman
"You can see that there was a brief, modest spurt in spending associated with the Obama stimulus — but it has long since been outweighed and swamped by a collapse in spending without precedent in the past half century. Taking it further back is tricky given data non-comparability, but as far as I can tell the recent austerity binge was bigger than the demobilization after the Korean War; you really have to go back to post-World-War-II demobilization to get anything similar.
And to do this when the private sector is still deleveraging and interest rates are at the zero lower bound is just awesomely destructive."
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