Krugman on the US housing bubble

Paul Krugman from Princeton University predicts the biggest housing bust in history.

Category:

News & Politics

Tags:

• house
• price
• crash
• real
• estate
• bubble
• krugman

[whoisleipo]

This dude supported the creation of housing bubble a few years earlier.

[whoisleipo]

Krugman was advocating a housing bubble back in 2002:

"To fight this recession the Fed needs more than a snapback; it needs soaring household spending to offset moribund business investment. And to do that, as Paul McCulley of Pimco put it, Alan Greenspan needs to create a housing bubble to replace the Nasdaq bubble."

[aem945532]

This guy is a psycho. He is a tool of the bankers. Goldman Sucks got his back and hes got theirs.

[ssmith5342]

@Andersll11 That's right, when you can't come up with a good rebuttal (typical of Austrian economists when faced with facts) just start childish name-calling and using slurs against those disabilities. Real good argument pal. Keep it coming, you're hilarious.

[Andersll11]

@ssmith5342 You're right, we shouldn't harass Krugman, we all know that it is not nice to make fun of FUCKING RETARDS! That includes you buddy!

[unfad1ng]

@ssmith5342

well thaths not entirely true.

Monaco has an unemployment rate at 0 % and an inflation rate at about 2 %

Both low inflation and low unemployment.

Argentina has an inflation rate at 22 % and an unemployment rate at about 8 %, high unemployment and high inflation.

(facts taken from CIA)

This would suggest that there isnt much of a correlation

so its

[ssmith5342]

@Andersll11 Hey, you're the troll here pal. You're one of many blind Austrian drones who goes around and harasses Krugman, the 14th most cited economist in the world. There is ample evidence that war benefits economies in recession. WWII spending, despite what your precious (and wrong) evidence-distorting revisionist Austrian economist pseudo-history books say, stimulated the US economy back to recovery. War utilizes human resources.

[Andersll11]

@ssmith5342 Go troll somewhere els!

[ssmith5342]

@unfad1ng Sure, but in the world of fiat currency-based nation-states in which we live, inflation and deflation are natural byproducts of banks trying to calculate the amount of currency needed to circulate in the economy against a large number of complex and somewhat unpredictable and uncontrollable variables. The stagflation of the 1970s was more of an anomaly. However, it is generally the case that inflation is low when unemployment and deficits (I should add) are high.

[ssmith5342]

@sellsjeeps And he predicted hyperinflation by the end of 2010. Some genius huh?

[ssmith5342]

@Andersll11 That's right it's time for people to start reading Austrian econ, the 9/11 truthers of economics. And by that I mean Mises and the like have about as much understanding of the basics of economics as a 9/11 truther does of common sense.

[unfad1ng]

@ssmith5342

inflation is not natural, where moderate inflation is good or not is another question but its not natural, inlation is created by printing money, during the 19 th cnetury you never had any constant inflation.

During the 70s you had both high inflation and high unemployment so unemployment doesnt always mean low inflation