Skip to comments.Durbin: Debt Deal Will Be The Death Of Keynesian Economics
Posted on 08/01/2011 8:24:53 AM PDT by re_tail20
The Republicans are killing Keynesian economics with their attempt to cut spending as the economy rebounds from a recession, Senate Majority Whip Dick Durbin (D-Ill.) said in a floor speech on Sunday.
I would say that symbolically, that agreement is moving us to the point where we are having the final interment of John Maynard Keynes, he said, referring to the British economist. He normally died in 1946 but it appears we are going to put him to his final rest with this agreement.
Keynes argued that aggregate demand was not always enough to spur full employment and that outside structures, such as governments, could influence the economy to create jobs and regulate business cycles. His thinking influenced later New Deal spending by President Franklin Delano Roosevelt.
(Excerpt) Read more at vxec.com ...
Good. Now drive a stake through it’s heart.
“their attempt to cut spending as the economy rebounds from a recession”
What recovery? What spending cuts?
where is this continued mantra coming from about ‘rebounding from the recession’ or ‘recovering economy’????
where have i been all this time????
The Republicans are killing Keynesian economics with their attempt to cut spending as the economy rebounds from a recession...
Really? Since when?
governments see keynesian economics as a way to spur jobs in government...
that’s about all it is good for spurring...
He says that like it’s a bad thing.
As Coolidge said. Paraphrasing: An economist looks at reality and tries to find a theory to fit.
Keynesian economics require spending cuts when the economy rebounds. That’s the part that politician have always ignored.
I missed the rebound and now we are headed for another correction.
Must of been sleeping
Not everyone can work for local, state and federal government. If they did the tax rate would have to be 100% to pay everyone.
Somebody has to be out in the private sector turning $1 into $2 so it can be taxed.
“In the long run, we’re all dead.”
That was JMK’s answer to the question about how long this policy could be extended until it blew up.
That childless gaylord is now long dead, and we have to deal with the aftermath.
The Long Run is here.
As opposed to "abnormally died"? What's TurbanDurbin trying to say here?
And he's been stinking up the place ever since.
Bury 'em, Dano.
As I understand Keynes he never advocated permanent and accelerating deficit budgets.
You deficit spend during a recession, you pay the debt back when the economy is growing thus smoothing out the highs and lows.
It’s bogus but that’s the theory.
What I find most interesting is what we didn’t hear about. Under Republican leadership we aren’t hearing about Cornhusker Kickbacks, and all the other nonsense payoff’s.
That...is a big change.