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Krugman | wrote

Krugman wrote Topic in The Credit Debacle Catalog

Paul Krugman wrote (1).

Credit Writedowns Mon 2010-07-19 12:08 EDT

Misunderstanding Modern Monetary Theory

Paul Krugman wrote a post today regarding MMT called "I Would Do Anything For Stimulus, But I Won't Do That (Wonkish)." The gist of Krugman's post was to refute Modern Monetary Theory's view on money and deficits...Krugman's post mischaracterizes both MMT and Galbraith's statement...Krugman is trapped in a gold standard view of money as he assumes the government must issue bonds to fund itself. He forgets that we live in a fiat world...the problem for deficits is not national solvency but inflation and currency depreciation. That makes me worried about deficits. If that makes me an inflation hawk and anti-deficit, then so be it. Nevertheless, MMT does say the same thing about deficits, namely that they can lead to inflation. But MMT also says that inflation is not a problem when you have an enormous output gap from 17% underemployment. MMT proponents recommend deficit spending to close that gap. But you can't spend at will under MMT; eventually the output gap closes and inflation becomes a big problem...

credit writedowns; Misunderstanding Modern Monetary Theory.

Fri 2010-04-02 10:36 EDT

Archein: Krugman as Failure

...I'd like to direct you to a scathing, sniveling little review, Krugman wrote fifteen years ago on Bill Greider's most excellent "One World Ready or Not". Greider's book documents the ravaging of the American middle-class caused by the processes of corporate globalization. Krugman counters with a ludicrous little tale about hot dogs, and then proceeds to defend it pushing all the pop-economic theory of the day, by so doing, an economist was bestowed with money and pats on the head from the mega-corporate boardrooms, you know, like the money Paul was paid working for Enron. According to the Nobel Laureate, replacing good paying steel jobs with McDonald's jobs was just great. Now today, fifteen years later, Mr. Krugman's contradicting what he's been saying his entire career, while Greider, no back page of the NYT for him, was right along...Mr. Krugman represents the most serious problem this republic currently faces, power has lost all accountability. From the top of government, to media, to finance, to our large corporations, we've seen spectacular failure, and no one held accountable. It's a lot bigger problem than the fact Paul Krugman is really a very silly man.

Archein; failure; Krugman.

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