Bye-Bye Keynes?

Real Clear Politics ^ | December 19, 2011 | Robert Samuelson

[MontaniSemperLiberi]

“If history is any guide, this scenario will develop not gradually but abruptly.”

But we can put some bounds on it. I’m sure, Gingrich, as a historian, knows that governments must default when the debt to GDP ratio gets between 90% and 120%. We are at about 74% now and adding about 10% a year. Growth is stagnant. So the crisis could hit the US in middle to late 2013, just as the fist budget is passed after the election, and definitely by 2016.

[ripley]

Progressives love to spend money and will continue to laud Keynesian economics. (Hopefully, they will not have access to the levers of power, anymore, very soon.)

IMHO

[Seaplaner]

You are correct in that Hoover Dam did provide important benefits; I view early NASA as a sort of equivalent.

That said, I always thought that Keynes believed in a kind of bottom up econ model, where if people were put to work (even on borrowed money) they would stimulate a demand for goods and services that would put others to work. (Sounds so nice, doesn't it?) The lefties' welfare philosophy follows the same model. I have heard liberals say that each person on welfare creates another job (some even say more).

Corrections invited (or I could even look it up).