You haven't been able to figure out how our monetary system works, that's why you don't understand why there is so much debt and why we still produce so much wealth. You are really dumb, you literally will never understand this. You don't even try, you just spout retarded anti-government rhetoric. Just a lost soul. If there is anything that's problematic about those two graphs is the values are not higher.
You haven't been able to figure out how our monetary system works, that's why you don't understand why there is so much debt and why we still produce so much wealth. You are really dumb, you literally will never understand this. You don't even try, you just spout retarded anti-government rhetoric. Just a lost soul. If there is anything that's problematic about those two graphs is the values are not higher.
Never said debt is wealth. You still have trouble differentiating between the monetary system and the economy. And you'll never understand why debt is necessary and not a problem in a country like ours. You are too lost in the head. You have the same argument they did hundred years ago and they were completely wrong then and have been completely wrong for the past century.
I pity people like you who refuse to learn and are brainwashed to believe silly things.
What you guys haven't figured out yet and probably never will is banking. You have to have a very advanced knowledge of banking and central banking to understand how this all works. You guys are still thinking the government finances are like your own and that debt needs to "paid off". It doesn't and never will be paid off. It will always grow over time. That's just basic mathematics and accounting that you guys refuse to learn.
This is EXACTLY what you have been arguing for 41 pages. Now you're backtracking like the little uneducated bitch you are.
For anyone reading this, this is what fratfraud believes - on a macro scale:
If your credit card company increases your limit by $5,000, you've increased your net wealth by $5,000! face)(*^%
This is why 'progressive' politicians and their Big Government Keynesian hacks are obsessed with the word 'GROWTH'...because Keynesians include DEBT in their GDP....which is absolutely insane. To wit, increase government spending and you 'GROW' the economy. See how easy that is? It's that fictional Keynesian "simple math" again!
fratfraud: " but, but, but...I never said debt is wealth!"
Oh yes you did!
And yes, everyone can see you are THAT stupid.
Loser!@#0
Note, fratfraud's free lunch fallacy ("debt is wealth!") on full display:
Originally Posted by akphidelt
"1920s were another example of just how awesome life is after the government greatly expands the money supply." @)
Reality:
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"From 1921 to 1929 the US money supply increased by 61 percent. In Europe the fast money supply was exacerbated by the massive German compensations for war damages. English repayment of war loans inflated the US money supply even further. As a consequence inflationary pressures increasingly built up in Europe as well as in the U.S."
"Between 1928 and 1929, the easy access to cheap credit caused reckless speculation on stock markets and on assets in general. Prices gradually inflated to an unsustainable asset bubble. In the 30 months from March 1926 to September 1929 the Dow Jones rose 230% from 166 to 381. A correction had become inevitable, but turned into a severe crash due to [SIZE=-1]calamitous government intervention."
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[/SIZE]Aka, The Great Depression!
Another socially-engineered Keynesian bubble!
face)(*^%
"1920s were another example of just how awesome life is after the government greatly expands the money supply." @)
Reality:
-------------------------------------------------------------------------------------------
"From 1921 to 1929 the US money supply increased by 61 percent. In Europe the fast money supply was exacerbated by the massive German compensations for war damages. English repayment of war loans inflated the US money supply even further. As a consequence inflationary pressures increasingly built up in Europe as well as in the U.S."
"Between 1928 and 1929, the easy access to cheap credit caused reckless speculation on stock markets and on assets in general. Prices gradually inflated to an unsustainable asset bubble. In the 30 months from March 1926 to September 1929 the Dow Jones rose 230% from 166 to 381. A correction had become inevitable, but turned into a severe crash due to [SIZE=-1]calamitous government intervention."
------------------------------------------------------------------------------------------------------------------------------------------------
[/SIZE]Aka, The Great Depression!
Another socially-engineered Keynesian bubble!
face)(*^%
Nah, you're just too stupid to understand the practical sobering outcomes of your idiotic "printing money creates wealth" Keynesian theories!
"debt is not real debt"
"the government borrows money from the big bank in the sky"
"the US is not Greece!"
"1920s were another example of just how awesome life is after the government greatly expands the money supply."
I will reiterate this one more time. The reason why you guys have such a difficult time understand economics and our monetary system is everything you believe is based on the view through the eyes of the private sector. Until you understand banking, you will never understand what I'm talking about. I have no hope for you guys, hopefully the future generations will become more intelligent and understand this.
"From 1921 to 1929 the US money supply increased by 61 percent. In Europe the fast money supply was exacerbated by the massive German compensations for war damages. English repayment of war loans inflated the US money supply even further. As a consequence inflationary pressures increasingly built up in Europe as well as in the U.S."
"Between 1928 and 1929, the easy access to cheap credit caused reckless speculation on stock markets and on assets in general. Prices gradually inflated to an unsustainable asset bubble. In the 30 months from March 1926 to September 1929 the Dow Jones rose 230% from 166 to 381. A correction had become inevitable, but turned into a severe crash due to [SIZE=-1]calamitous government intervention."
[/SIZE]
05SEP2013
Another Bang-Up Prediction From Krugman, On Employment and the SequesterEconomics, Krugman37 Comments
UPDATE below.
Russ Roberts reminded me of Krugman’s discussion of the sequester back in February:
But the legacy of [the Bowles/Simpson deficit commission] lives on, in the form of the “sequester,” one of the worst policy ideas in our nation’s history.
Here’s how it happened: Republicans engaged in unprecedented hostage-taking, threatening to push America into default by refusing to raise the debt ceiling unless President Obama agreed to a grand bargain on their terms. Mr. Obama, alas, didn’t stand firm; instead, he tried to buy time. And, somehow, both sides decided that the way to buy time was to create a fiscal doomsday machine that would inflict gratuitous damage on the nation through spending cuts unless a grand bargain was reached. Sure enough, there is no bargain, and the doomsday machine will go off at the end of next week.
…
So here we go. The good news is that compared with our last two self-inflicted crises, the sequester is relatively small potatoes. A failure to raise the debt ceiling would have threatened chaos in world financial markets; failure to reach a deal on the so-called fiscal cliff would have led to so much sudden austerity that we might well have plunged back into recession. The sequester, by contrast, will probably cost “only” around 700,000 jobs. [Bold added.]
Let’s see how that Krugman prediction has panned out so far:Here’s how it happened: Republicans engaged in unprecedented hostage-taking, threatening to push America into default by refusing to raise the debt ceiling unless President Obama agreed to a grand bargain on their terms. Mr. Obama, alas, didn’t stand firm; instead, he tried to buy time. And, somehow, both sides decided that the way to buy time was to create a fiscal doomsday machine that would inflict gratuitous damage on the nation through spending cuts unless a grand bargain was reached. Sure enough, there is no bargain, and the doomsday machine will go off at the end of next week.
…
So here we go. The good news is that compared with our last two self-inflicted crises, the sequester is relatively small potatoes. A failure to raise the debt ceiling would have threatened chaos in world financial markets; failure to reach a deal on the so-called fiscal cliff would have led to so much sudden austerity that we might well have plunged back into recession. The sequester, by contrast, will probably cost “only” around 700,000 jobs. [Bold added.]
But don’t worry, this poses no problem for Krugman, champion of “let those who make bad predictions about the economy go work at Starbucks.” For when I brought up the infamous Romer/Bernstein botched unemployment prediction, in the context of my (price) inflation bet, Krugman actually said, “In short, some predictions matter more than others.” I’m not taking him out of context; that’s what he said.
UPDATE: OK, “Joe” in the comments has convinced me that this is not necessarily a smoking gun against Krugman, since he wasn’t predicting a loss of 700,000 jobs right away. Depending on how you calculate the baseline of job growth, Krugman could understandably think that the actual results are consistent with his claim.
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"smart people think like me, dumb people think like you!" - fratfraud
@)
Loser!@#0Wait, wasn't the 1920's your example of how great austerity is? Now it's another Keynesian time period? Lmao. You just make shit up as it goes. It's hilarious how dumb you are.
http://www.therxforum.com/showthread.php?t=980940&highlight=Calvin+Coolidge
Post #6. Care to make any other shit up?
