How to Fix the Economy (part 2 of 2) -- August 14, 2011

[ahqb8ghs]

@Krugmanistheking How can you think squandering resources and directing them towards destruction during war can be considered economic growth? How can FDR literally paying people to dig ditches and others to fill them up help stimulate the economy? When the government decides to give people false purchasing power it has to increase the monetary supply,delay a necessary and healthy recession, and its also has to taking purchasing power from others through taxes. 

[ahqb8ghs]

@Krugmanistheking Not for one minute was the market given a chance to equilibrate. The demand will always be there, prices just needed to fall far enough considering monetary expansion and low interest rates brought them to artificial highs, and production will then begin to occur once savings is accrued again. The reason we came out of the great depression successfully is because the savings rate was over 25% during the war years.

[ahqb8ghs]

world war two did not get us out of the depression, that is an utter falsehood. GDP only rose 75% during the war era because as a nation at war we were forced to commit out productive capacities towards goods for the war effort. This though, is not economic growth, sure we are employing people but we are not producing anything of value to society, we are just funding ultimate destruction, a complete misallocation of precious resources.

[shitaye12]

what is Rogoff talking about? We don't do anything to what he says is a terrible situation because we may make it worse?

[danger0usknowledge]

The last 2 Republicans administrations: 1989, after 8 yrs of Reagan, Bush is forced to bailout 2000 banks & S&L's with 160 Bn taxpayer $ with half (1/2) to Texas. 2008, after 8 yrs of Bush, trillions to bailout banks again. "Barney Frank did it", "Soros did it" "Frannie & Freddie" or "both parties R2 blame" Roland Arnall? Predatory Lenders? 2003-4, AG's from 50 states AND FBI wanted predatory lenders regulated. In response, Cheney Bush preempted ALL STATE regulation & enforcement.

[Fusionx916]

paul krugman 2012

[grraadd]

Alien war moron is delusional... give more money to the people and keep interest rates at minus something - great f@#& idea! Then wait for debt to shrink, but at the same time for spending to grow...

How he managed to get through a primary school???

[Seedofwinter]

@grraadd A economic expert with a Nobel prize, or a tool on youtube? Who should I trust? Hmmmm......I choose Krugman!

[grraadd]

@Seedofwinter There are hundreds of economic experts on YT... but you choose Krugman - embodiment of failure (repeatedly wrong predictions). Check his record instead of listening to his empty promises.

[Seedofwinter]

@grraadd Tell me, what has he failed in? Where are his really bad predictions?

Don't just throw shit out there without proving it.

[lejeunesage]

@grraadd Actually, I know of no other economist who's been more right than Krugman. He was talking about a liquidity trap when people were shouting inflation as far as 3 years ago. And where's the inflation?

[grraadd]

@lejeunesage so you must be heavily invested in USD (loosing value on your bank account) and stock market... because you believe in government's figures :-D

A hint: check weight of your favourite packed food - price can be the same (isn't), but there is more air/less stuff inside.

In Europe some people were buying Greece's bonds too - they had great official government economic data.

[lejeunesage]

@lejeunesage Dude, quit it with the paranoid delusion, please. The government is not the only institution to track inflation. There's no inflation right now, which is exactly the problem. A certain level of inflation for a sustained period of time would decrease the value of people's debt and allow demand to pick-up again. Inflation is not always good, but this is one of the rare instances where more of it would actually help. Economics is not about absolutes or morality.

[ClavisRa]

@lejeunesage Right, and moreover, inflation would make it less attractive to banks, businesses and the rich to hold onto their massive supply of cash, and make investing look relatively more attractive.

[danbuck333]

Krugman is a fucken idiot

[clockworkscott]

@danbuck333 you spelled "fucking" wrong.

[danbuck333]

@clockworkscott thats because Im not saying "fucking"

[blite13]

Why are the private sector in debt? They have been stolen from in the name of bubbles and bailouts, Krugman needs a kick in the nuts.

[FreakishDonQuixote]

@blite13 lol @ you

[clockworkscott]

@blite13 wait a sec...wasn't the bailout the use of public funds to buy the shitty debt of the private sector? and how was the, e.g. housing bubble, an instance of the private sector being stolen from? what i mean is that in the second question, wasn't it the private sector fucking themselves over? i think you've confused the words "private" and "public"...the public is the government, the private the banks and corporations.

[blite13]

@clockworkscott You are kidding, right? If you can't see an agenda since the Fed Reserve was introduced in 1913 of theft and lies and manipulation by gov, INTERNATIONAL banks and Corps...then you ain't even in the game, unless you are a Gov/corp/banker sock puppet, hmmm? The Fed Gov does not represent the people, that is clearly obvious, your definitions are backwards....move along.

[clockworkscott]

@blite13 oh, i see, you're one of these paultards. nevermind.

[blite13]

@clockworkscott No, I'm not a Paultard. But out of all the 'candidates' Paul is the best of them. Who are you for, Palin? Bachmann, or do you love O'bummer? Do you still believe your TV? Get your head out of your ass.

[blite13]

Krugman looks like a zombie....chip?MK?...it's in the eyes.