Paul Krugman: The Big Fail

Quicklink submitted By   Follow Me on Twitter     Message Sheila Samples     Permalink
Related Topic(s): ; , Add Tags

View Ratings | Rate It

opednews.com

Become a Fan
  (42 fans)
It's tempting to argue that the economic failures of recent years prove that economists don't have the answers. But the truth is actually worse: in reality, standard economics offered good answers, but political leaders -- and all too many economists -- chose to forget or ignore what they should have known. An economy is not like a household. A family can decide to spend less and try to earn more. But in the economy as a whole, spending and earning go together: my spending is your income; your spending is my income. If everyone tries to slash spending at the same time, incomes will fall -- and unemployment will soar.

Read the rest of the story HERE:

At www.nytimes.com

- Advertisement -
- Advertisement -