A Chequer-Board of Nights and Days

The False Promise Of Keynesian Stimulus

Posted by Pejman Yousefzadeh on Tue Jan 27, 2009 at 09:11:31 AM EST

Some educational TV, courtesy of Dan Mitchell:

Mitchell makes a good point that is too often ignored: The Bush Administration was famous for its profligate spending ways. Why didn't that produce the Keynesian multiplier effect that people like Paul Krugman promise us will come about if only we enact an economic rescue plan like the one that the Obama Administration is recommending?

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