Skip to comments.Phony Fear Factor (Paul Krugman says no evidence that taxes and regulations hurt the economy)
Posted on 09/30/2011 8:07:54 AM PDT by SeekAndFind
The good news: After spending a year and a half talking about deficits, deficits, deficits when we should have been talking about jobs, job, jobs were finally back to discussing the right issue.
The bad news: Republicans, aided and abetted by many conservative policy intellectuals, are fixated on a view about whats blocking job creation that fits their prejudices and serves the interests of their wealthy backers, but bears no relationship to reality.
Listen to just about any speech by a Republican presidential hopeful, and youll hear assertions that the Obama administration is responsible for weak job growth. How so? The answer, repeated again and again, is that businesses are afraid to expand and create jobs because they fear costly regulations and higher taxes. Nor are politicians the only people saying this. Conservative economists repeat the claim in op-ed articles, and Federal Reserve officials repeat it to justify their opposition to even modest efforts to aid the economy.
The first thing you need to know, then, is that theres no evidence supporting this claim and a lot of evidence showing that its false.
The starting point for many claims that antibusiness policies are hurting the economy is the assertion that the sluggishness of the economys recovery from recession is unprecedented. But, as a new paper by Lawrence Mishel of the Economic Policy Institute documents at length, this is just not true. Extended periods of jobless recovery after recessions have been the rule for the past two decades. Indeed, private-sector job growth since the 2007-2009 recession has been better than it was after the 2001 recession.
We might add that major financial crises are almost always followed by period of slow growth, and U.S. experience is more or less what you should have expected given the severity of the 2008 shock.
(Excerpt) Read more at nytimes.com ...
Why does this man soil himself every other day?
I have one word: EUROPE.
How often does this guy have to be proven wrong before people start rejecting him?
Please explain to me how this guy got an award in Econ. Was it sort of like Zero and the Peace Prize. Only requirement is to be a blatant ignorant Socialist.
So according to Krugman, we can tax and spend our way to prosperity.
And we’re supposed to believe that these are the guys with fresh, new, innovative solutions to get us out of our economic mess?
Krugman considers himself a liberal, calling one of his books and his New York Times blog "The Conscience of a Liberal". Some critics have described his recent journalistic writing as politically partisan.
I don't know what rock he's been living under, but his assertion that there is no impact from regulation is simply bogus.
RE: So according to Krugman, we can tax and spend our way to prosperity.
His idea in a nutshell : TAX AND SPEND IN BAD TIMES, RESTRAIN SPENDING ONLY DURING GOOD TIMES.
RE: Please explain to me how this guy got an award in Econ.
I could if someone could explain to me how the following won the Nobel Peace Prize: Al Gore, Yaser Arafat and Barack Obama.
Ask any CEO what the effect of Sarbanes-Oxley was.
Krugman, Al Gore, Barack Obama, and Yassar Arafat (among others) are the poster children for why the Nobel Prize no longer has any value or meaning.
how would this guy know?...he’s never started or run a business in his life. His opinion means nothing.
Kruigman’s taxes should be raised to 99.5% and then the remaining .5% should be subjected to regulations requiring that he spend 105% of that net balance on ‘spending permits’.
Then let’s see what that jerkwit has to say.
and regulate. Tax, regulate, and spend is every liberals' dream. And you are correct, it does not do anything but destroy.
Read the comments on the article. If you ever need evidence that democrats hate Christians, there it is. The discussion in the comments has all the scientific rigor of a bathroom stall scrawl. It’s amazing how they think a citation can justify the basest form of vitriol. These folks are doubly dangerous because they justify their hatred with science. Sounds a lot like the Nazis. God help us if these folks ever come to power. If the Beast has a media organ, it’s Paul Krugman and the New York Times.
I work for a tissue bank, providing human tissue for transplant surgery. At a recent quarterly meeting, prompted by an impromptu Q&A session, our CEO stated, “The FDA is becoming impossible to work with” and listed three cases where the FDA is hampering or attempting to hamper us selling existing products or bringing new products to market. I don’t need the likes of Paul Krugman to tell me that all is well... we would expand these lines if we could, but we can’t because of the government.
Obviously Krugman has never run a small business seeking a conditional use permit from a city agency. He is an example of the reason I could never have worked in academia.
Have you noticed that whatever shows up in the morning business news, “it comes as a surprise” to the dopes on the WH staff?
Econ spelled backwards is noce which is “nut”...maybe thats what the prize was for...
Of course. The WH staff agrees with Krugman and can’t understand why their policies haven’t jump-started our economy.
I get so tired of these leftist douchebags and their lawyered, massaged arguments. Yeah Krugman, that lag has been getting longer the more we pass regulations, unionize, and raise taxes. Go back 100 years and you'll see a strong correlation. You make things higher and more expensive and it takes longer for a recovery. Lowering prices is economics 101 for stimulating the economy.
A big part of that is energy. If we could get gas back to even $1.50 and make the EPA quit shutting down coal plants and hamstringing refineries, realistic energy prices would do a great deal to stimulate this economy.
He talks about big corporations sitting on cash that don't want to invest. That shuck and jive completely avoids that the small business job engine is shut down because they don't have the lawyers and accountants to fight these regulations. So they either don't hire or go out of business.
Krugman is a sniveling little fascist elitist that thinks he's going to ramrod his pseudo-intellectual crap down our throats. Wrong.
What a Putz Nobel Prize my #!%%
I though that no one would ever be able to ring my bell like Noam Chomsky, but Krugman comes close.
These and other forms of government interventionism inhibit the capital accumulation which is responsible for economic progress. This inhibition causes stagnation of the economy and if it is severe enough, even economic regression.These are principles of cause and effect discovered by means of deduction and reason.But libtards are incapable of reason.
no wonder Limbaugh portrays him with a ferret sticking out of his head on his website.
You really do have to wonder what planet economists live on.
“Here ye, there is no indication that the institution of Slavery is harmful to the economy.”
Why is it that jerks like Krugman have absolutely little or NO experience in running a real business? And they are “economists”?? Now that is funny!
And falling subscriptions have nothing to do with a newspaper solvency unicorns will still buy the NYT right?
OK pk, if I have $2000 of credit card debt on my Visa card, should I go and pay it off with my Master Card at a higher credit rate?
Yeah, makes sense to me now. < /sarc>
There was only one on the first page that was against this article. I can't see how anyone is so stupid. Funny he even allowed comments, unlike the one he had a couple of weeks ago "Comments not available due to obvious reasons".