Saturday, July 12, 2014

reach for yield

Back on the Grid and Ready to Talk Financial Oversight and Human Nature by Jared Bernstein

Liquidationism in the 21st Century by Krugman

Bill Maher on Real Time on HBO described some conservative lies as Zombie lies, they won't die, like trickle-down economics.

Krugman on the BIS:
Throughout the annual report, balance-sheet problems are treated as if they were equivalent to the kind of real structural problems the bank used to claim were at the root of our troubles. That is, they’re treated as a good reason to accept a protracted period of high unemployment as somehow natural, and to reject artificial stimulus that might alleviate the pain.

From 2011
Once, as Romer pressed for more stimulus spending, Geithner snapped. Stimulus, he told Romer, was “sugar,” and its effect was fleeting. The administration, he urged, needed to focus on long-term economic growth, and the first step was reining in the debt. 
Wrong, Romer snapped back. Stimulus is an “antibiotic” for a sick economy, she told Geithner. “It’s not giving a child a lollipop.”

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