jmog;1480688 wrote:Don't let
facts get in the way of Boatshoes' rants
Interesting that you would use that word.
From the article:
I prefer to look at the sequester using common sense instead of arcane Keynesian modeling.
The article is nothing bit a hit piece against the CBO and its evidence based arguments as to why the stimulus should have been passed and why the sequester shouldn't have. It is, as you would call my argument against the credibility of the mises institute, an ad hominem attack against the CBO and provides no evidence against its claims (which I did after disputing the credibility of the Mises institute). The CBO, fwiw is much more credible than the Mises institute or Forbes anyway for that matter.
The preponderance of the evidence indicates that the stimulus worked. The preponderance of the evidence indicates that the sequester will cost jobs...if anything public sector jobs by definition (thankfully we have had expansionary monetary policy throughout for monetary offset).
It's really not a hard concept. If you think tax raises would hurt output and employment in a depressed economy, (all conservatives apparently do) then spending cuts hurt output and employment in a depressed economy. They work through the same channel of aggregate demand. Your only hope against the latter is that it inspires people to take out loans, build up credit card debt, invest their money under their bed because they see government spending going down. That hasn't happened. The confidence fairy has not arrived. Luckily we have monetary offset from expansionary policy from the FED which is better than nothing.
The evidence is not on Mr. Gregory's side. The economy continues to suck after the sequester and the payroll tax raise. Private debt is increasing once again as people try to sustain their standard of living as money trickles out of the economy from spending cuts and tax raises.
I am the only liberal here. Surely you guys can do better than a Forbes goldbug who's "common sense" has been wrong about everything while keynesian IS-LM modeling + post-keynesian Wynne Godley Sectoral Balances has done pretty well.
hony scandal”