This YouTube video has to be one of the best Paul Krugman performances I have ever seen. This is the video I mentioned in my previous blog post, Paul Krugman: ‘I’m sick of being Cassandra. I’d like to win for once’.
His explanation of why lack of demand is what is the real roadblock to business expansion is the one I keep harping on.
When I hear these conservatives give their remedies for what ails business, I want to shout out (and frequently do) “What part of no frigging demand do you not get?” Before I gave up watching Nightly Business Report, I used to see Susie Gharib interviewing the titans of business about what it would take to get them investing again. They would give all the same excuses you see in the above video. I kept posting on their Facebook page that she should ask them if having more customers would help. She never asked that question.
In the video I also liked the analogy with physicians trying to cure a patient’s declining vitality by increasing the amount of blood letting that they were doing. I often use that analogy myself.
I also just loved the moderator’s parting shot at one of his conservative guests, “Yes, you’ll have to come back some time and tell us all about the Estonian economy.”