Thursday, May 30, 2013

Comment on Footnote

I comment on the comments thread to David Warsh's post here (there I neglected to put quotation marks around the Meegs quote).

  1. Robert Waldmann wrote:
    Your comment is awaiting moderation.
    This is an interesting comments thread. I noticed no attempts to defend the post at all. Since many of the comments point out false claims of fact in the post, defending it would be a challenge. However, our host should read the comments and either defend his claims or retract them.

    Meegs

    "There is an alternate universe–one I really wished we lived in–in which BRAD DELONG AND PAUL KRUGMAN Ball …
    Alas, the Keynesians led a politically INeffective campaign for fiscal stimulus."

    They campaigned for both. In particular, after roughly 2009 they switched their focus from fiscal to monetary policy, basically because they knew there was no way another large stimulus would get through Congress (Krugman by the way, argued in early 2009 that the ARRA was the only chance for fiscal stimulus so this is just another correct Krugman prediction).
    DeLong especially is quite casual about the difficulty of obtaining higher inflation. I have regularly argued with his claim that another QE will work, that the latest QE did work and that of course the latest QE didn’t work, because Bernanke didn’t say the exact right magic words when announcing it.
    Now only in an alternative universe could a DeLong/Krugman campaign be politically effective, since Republicans are against whatever they are for.
    Thursday, May 30, 2013 at 2:58 am | Permalink

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