Free Republic

KRUGMAN: That kills charitable deductions. It hits the middle class hard. If you do it -- if you do it right -- we've done this, right... MATALIN: Are you an economist or a polemicist? (CROSSTALK) KRUGMAN: There's only -- there's only $450 billion that you can get by doing that. MATALIN: Do you want to talk about economy or do you want to talk about polemics? KRUGMAN: No, this is not true. MATALIN: We have two different ways of going forward. We will not have Medicare, we will not have Social Security. You have senior Democrat Dick Durbin saying Social...

Hurricane Sandy was an invader, one that splashed ashore with as much destructive power as any foreign (or perhaps interstellar) invader could hope to bring to bear against our coasts. Thus, in the opinion of economist Paul Krugman, the storm should help boost the American economy. “If we discovered that, you know, space aliens were planning to attack and we needed a massive buildup to counter the space alien threat and really inflation and budget deficits took secondary place to that, this slump would be over in 18 months,” the Nobel Prize winning economist declared on CNN in 2011....

Have you noticed that The New York Times editorial page is becoming increasingly strident, increasingly emotional and increasingly irrational? Here is Paul Krugman in last Monday's column: Mr. Romney and Mr. Ryan…want to expose many Americans to financial insecurity, and let some of them die, so that a handful of already wealthy people can have a higher after-tax income. No, that's not a misprint. The Republicans actually want to let some people die so that they can reward their rich friends. It's not an isolated comment either. Under the heading "Death by Ideology," Krugman actually lists all of the ways...

In the roundtable discussion on This Week, Peggy Noonan’s analysis of last week’s debate lead to a heated exchange between Paul Krugman and Mary Matalin. “We will look back on it as a historic moment in this election,” Noonan said of the debate. “It upended things. This is what it it upended: Barack Obama was supposed to be the sort of moderate, centrist fellow who looked at Mitt Romney, this extreme strange fellow. By the time that debate was over, Mitt Romney seemed a completely moderate, centrist figure who showed up as mitt Romney the governor, not as Mitt Romney...

How is it possible that Barack Obama leads Mitt Romney on who can better handle the economy when it's been in decline all year? Economists on both sides say this is one of the weakest recoveries since the Great Depression. New York Times economic columnist Paul Krugman, one of Obama's early supporters, said, "This is still a terrible economy." The overall economy barely grew by 1.7 percent in the second quarter, down from 2.0 percent in the first three months of 2012. Business economists have lowered their forecasts to 1.5 percent or lower for the year. The Federal Reserve Board...

Does anyone remember the American Jobs Act? A year ago President Obama proposed boosting the economy with a combination of tax cuts and spending increases, aimed in particular at sustaining state and local government employment. Independent analysts reacted favorably. For example, the consulting firm Macroeconomic Advisers estimated that the act would add 1.3 million jobs by the end of 2012. There were good reasons for these positive assessments. Although you’d never know it from political debate, worldwide experience since the financial crisis struck in 2008 has overwhelmingly confirmed the proposition that fiscal policy “works,” that temporary increases in spending boost...

Bill Clinton’s speech at the Democratic National Convention was a remarkable combination of pretty serious wonkishness — has there ever been a convention speech with that much policy detail? — and memorable zingers. Perhaps the best of those zingers was his sarcastic summary of the Republican case for denying President Obama re-election: “We left him a total mess. He hasn’t cleaned it up fast enough. So fire him and put us back in.” Great line. But is the mess really getting cleaned up? The answer, I would argue, is yes. The next four years are likely to be much better...

On 2012-08-03 Paul Krugman wrote an Op-Ed piece in the New York Times entitled “Debt, Depression, DeMarco”, excoriating the “the scorched-earth opposition of Republicans, who have done everything they can to get in ‘Obamas’ way — and who now, having blocked the president’s policies, hope to win the White House by claiming that his policies have failed.” Interesting! Perhaps instead of blaming Bush, the Republicans, conservative thinkers, the Eurozone, a naturally non-responsive economy, sun spots, The Coming Of Kohoutek and the Mayan calendar, Mr. Krugman would be looking inwardly because maybe, just maybe, the policies he and other leftists promote...

In his June 08 column, New York Times columnist Paul Krugman says a major part of the reason the recession under Reagan recovered more quickly than the current recession is because of government spending. From the column: Why was government spending much stronger under Reagan than in the current slump? “Weaponized Keynesianism” — Reagan’s big military buildup — played some role. But the big difference was real per capita spending at the state and local level, which continued to rise under Reagan but has fallen significantly this time around. There are a myriad of things with which to respond to...

On Friday's PBS NewsHour, both "conservative" David Brooks and liberal Mark Shields thought this was a tough, tight election for Barack Obama. Shields said "it becomes a race about disqualifying, a campaign about disqualifying your opponent. And that's not attractive or appealing. It's not hope and change. It's blood and guts." But Brooks really felt Obama's pain: "So the president is obviously going to try. He is going to have. And to some extent, you have to feel sorry for him. This is in large degree not his fault. Things are happening way beyond his control. I don't believe a...

New York Times columnist Paul Krugman got another much-needed education from syndicated columnist George Will on ABC's This Week Sunday. After Krugman impugned Gov. Scott Walker (R-Wisc.) for his so-called "fiscal irresponsibility," Will simply and quite accurately responded, "A more than $3 billion budget that he inherited, a deficit, has now become a surplus" (video follows with transcript and commentary): George Will Schools Krugman on Gov. Walker: $3 Billion Deficit 'He Inherited' Has 'Become a Surplus' GEORGE STEPHANOPOULOS, HOST: We have a couple minutes left before we have to take a break, and I just quickly want to go to...

Paul Krugman: 'It's Terribly Unfair Obama's Being Judged on the Failure of the Economy' By Noel Sheppard Created 06/03/2012 - 3:22pm Readers are strongly advised to remove food, fluids, and flammables from proximity to their computers prior to reading any further. You've been warned! New York Times columnist Paul Krugman said on ABC's This Week Sunday, "It's terribly unfair that [President Obama is] being judged on the failure of the economy to respond to policies that had been largely dictated by a hostile Congress" (video follows with transcript and commentary): PAUL KRUGMAN, NEW YORK TIMES: Can I just -- these...

Sometimes it’s hard to explain why we need strong financial regulation — especially in an era saturated with pro-business, pro-market propaganda. So we should always be grateful when someone makes the case for regulation more compelling and easier to understand. And this week, that means offering a special shout-out to two men: Jamie Dimon and Mitt Romney. I’ll come back shortly to the troubles at JPMorgan Chase, the bank Mr. Dimon runs. First, however, let me talk about Mr. Romney, whose remarks about those troubles were so off-point that they constitute a teachable moment. Here’s what the presumptive Republican presidential...

Paul Krugman is now so far into outer space with ridiculous economic proposals that even Helicopter Ben Bernanke recognizes Krugman's proposals as "reckless". Bloomberg reports Bernanke Takes On Krugman’s Criticism Ignoring Own Advice

Few prominent economists have a worse record predicting the impact of Obama’s economic policies than Paul Krugman. Writing for the New York Times and touting his close “genuine contact” with the “smart” economists and others in the Obama administration and the Democratic congressional leadership, Krugman has been, and remains, Obama’s most important champion. Not only has he been defending Obama’s Keynesian-type deficit-spending, but he has been advocating still more of these same failed policies. The economy just can’t gain ground. Thirty-four months since the "recovery" started in June 2009 and the actual number of jobs have increased by just 0.4%....

what’s interesting is the cult that has grown up around Mr. Ryan — and in particular the way self-proclaimed centrists elevated him into an icon of fiscal responsibility, and even now can’t seem to let go of their fantasy.

Their refutation makes for fascinating and sometimes humorous reading. Consider, for example, the prediction Krugman made the day Obama signed the original stimulus bill into law: “I am still guessing that we peak out at around 9% [unemployment] and that would be late this year [2009]." Furthermore, Krugman declared that double-digit unemployment was “not the most likely event.” As Norquist and Lott note, unemployment hit 10.1% and remained above 9% two years after Krugman predicted it would peak. Once it became clear that President Obama’s stimulus plan had failed to ignite the economic recovery he promised, Krugman and others began...

Energy: The economist at the newspaper of record defends the president's energy policy of Solyndra, Chevy Volts and algae while dismissing the oil boom on private lands as a small-town hiccup with no impact on price. New York Times columnist and Keynesian economist Paul Krugman asks in a recent column why gas prices are rising if we are in the middle of a domestic oil boom. Doesn't the "drill, baby, drill" crowd claim, he argues, that prices will drop "if only we would stop protecting the environment and let energy companies do whatever they want"? Without our domestic oil boom,...

As we watch the Eurozone struggle with its financial challenges Keynesians keep telling us the solution to our economic problems is to spend more money, to pile up bigger debts. A week and a half ago, Standard & Poor’s downgraded the debt of more than half of the Eurozone's countries, and the failure of those policies should be very obvious by now. Solving the Greek debt crisis hit yet another snag on Sunday afternoon. New aid for Greece from the IMF, the European Commission and the European Central Bank would have relied on private bondholders “voluntarily” agreeing to a 50...

How goes the state of the union? Well, the state of the economy remains terrible. Three years after President Obama’s inauguration and two and a half years since the official end of the recession, unemployment remains painfully high. But there are reasons to think that we’re finally on the (slow) road to better times. And we wouldn’t be on that road if Mr. Obama had given in to Republican demands that he slash spending, or the Federal Reserve had given in to Republican demands that it tighten money. Why am I letting a bit of optimism break through the clouds?...