The Krugman

I don't like feeling I'm becoming kinda captured by a slanted narrative (just sayin' that one straight out), but I'll try to contain my discomfort (for a while anyway) because Paul Krugman seems always to be trying to talk some sense into us.

And he keeps coming up with real info about real events that we need to weigh against all the fantastic predictions of doom coming from the Austerity Freaks.

But what about the brief but nasty slump in 1927? That wasn’t caused by spiking interest rates; it was, instead, caused by fiscal austerity, by the measures taken to stabilize the franc.

So even when we look at the closest thing I can find to the scenario the deficit scolds want us to fear, it doesn’t play out at all as described.

It’s quite remarkable: our policy discourse remains largely dominated by fears of an event that the fear-mongers can’t explain in theory, and for which they can offer no historical examples in practice.