• 1,236 days Will The ECB Continue To Hike Rates?
  • 1,236 days Forbes: Aramco Remains Largest Company In The Middle East
  • 1,238 days Caltech Scientists Succesfully Beam Back Solar Power From Space
  • 1,637 days Could Crypto Overtake Traditional Investment?
  • 1,642 days Americans Still Quitting Jobs At Record Pace
  • 1,644 days FinTech Startups Tapping VC Money for ‘Immigrant Banking’
  • 1,647 days Is The Dollar Too Strong?
  • 1,648 days Big Tech Disappoints Investors on Earnings Calls
  • 1,648 days Fear And Celebration On Twitter as Musk Takes The Reins
  • 1,650 days China Is Quietly Trying To Distance Itself From Russia
  • 1,650 days Tech and Internet Giants’ Earnings In Focus After Netflix’s Stinker
  • 1,654 days Crypto Investors Won Big In 2021
  • 1,655 days The ‘Metaverse’ Economy Could be Worth $13 Trillion By 2030
  • 1,655 days Food Prices Are Skyrocketing As Putin’s War Persists
  • 1,658 days Pentagon Resignations Illustrate Our ‘Commercial’ Defense Dilemma
  • 1,658 days US Banks Shrug off Nearly $15 Billion In Russian Write-Offs
  • 1,661 days Cannabis Stocks in Holding Pattern Despite Positive Momentum
  • 1,662 days Is Musk A Bastion Of Free Speech Or Will His Absolutist Stance Backfire?
  • 1,662 days Two ETFs That Could Hedge Against Extreme Market Volatility
  • 1,664 days Are NFTs About To Take Over Gaming?
Is The Bull Market On Its Last Legs?

Is The Bull Market On Its Last Legs?

This aging bull market may…

How The Ultra-Wealthy Are Using Art To Dodge Taxes

How The Ultra-Wealthy Are Using Art To Dodge Taxes

More freeports open around the…

Ian Campbell

Ian Campbell

Through his www.BusinessTransitionSimplified.com website and his Business Transition & Valuation Review newsletter Ian R. Campbell shares his perspectives on business transition, business valuation and world…

Contact Author

  1. Home
  2. Markets
  3. Other

Paul Krugman on Deficit Spending

Paul Krugman is a Nobel prize winner. He seems to think that without further deficit spending the U.S. will face depression - a term and condition most economists find the least attractive of all economic scenarios. One has to wonder whether Mr. Krugman in his 'heart of hearts' believes the United States can come out of the economic morasse it is currently is in - and that seems to be exacerbating - intact and reasonable unscathed.

Mr. Krugman wrote a book titled 'End This Depression Now' that was published three months ago. It is available on Amazon and Kobo. I bought and scanned the book. Some of what Mr. Krugman says I agree with - particularly his comments related to the psychological effects of unemployment on the unemployed. However, in my view he does not either in the book, or in the video that accompanies this commentary, adequately address the consequences of his recommended further Federal Government deficit spending . In particular, he doesn't for me satisfactorily deal with how in the end does the ever increasing National Debt gets satisfied. Rather, he seems willing to embrace a postponement strategy that I believe will simply lead to an ever higher cliff to fall from.

Topical Reference: Krugman: The Government Has To Do More Deficit Spending To Avoid A Full-On Depression, from Business Insider, Joe Weisnethal, July 12, 2012 - reading time 1 minute, accompanying video 5 minutes.

 

Back to homepage

Leave a comment

Leave a comment