Keynesian Economics Works in the United States, Too
Almost in answer to my previous rhetorical question Does Keynesian Economics Work In China But Not The USA, Paul Krugman’s column, The Real Story, uses the recent history of our economy to show that it works here too.
He shows that the so called experts who predicted dire consequences from a too large stimulus package were completely wrong. The actual experts who predicted dire consequences from too small a stimulus were right.
If repeating the same action and expecting different results is called insanity, what we would we call it when the Republicans want to do the opposite action, but expect the same results?
Do we think the behavior of the economy is completely unaffected by government action, and just because one set of experts were right the last time, then they won’t be right the next time? Apparently the Republicans don’t think the economy is unaffected by government action or they wouldn’t be so adamant in their obstruction.
Do progressives believe that because Obama was only able to get a small stimulus package through that we ought to now turn control back to the Republicans who wanted no stimulus?
I am having a real problem making sense out of either side that seems to blame Obama as the cause of our problems and not the potential solution.