austerity

I am great believer in divergence when it comes to the global economy if anything then because it allows you to take a slightly more nuanced perspective than the risk off/risk on debate that has dominated the discourse for the past two…

It seems that a lot of analysts have caught onto the MMT framework popularized by the late economist Wynne Godley and made topical in this downturn by Rob Parenteau of the Richebacher Letter. We have seen Martin Wolf use Godley and…

By L. Randall Wray, Professor of Economics at the University of Missouri-Kansas City, Research Director with the Center for Full Employment and Price Stability and Senior Research Scholar at The Levy Economics Institute. In recent months,…

Well, I, for one, am more or less willing to throw in the towel on behalf of Inflation. For the near future at least, his adversary in the blue trunks, Deflation, has won on points. Even if we get intermittently rising commodity prices,…

Most News-worthy Links Republicans don't give a damn about the deficit | Sahil Kapur | Comment is free | guardian.co.uk Paul Krugman - Redo That Voodoo - NYTimes.com Why Germany should not listen to the US | vox The Usual…

This is just in from PIMCO's Paul McCulley, who seems to have caught on to the Wynne Godley sectoral balances approach to viewing the macro economy (hat tip Scott).  He says: Double-entry bookkeeping was a great invention. It is a…

I have argued that both fiscal and monetary stimulus would be withdrawn sooner than most people expected. Here's how I put it in March (emphasis added): I expect the following to occur: Public pressure to withdraw monetary and…

Listen to Paul Krugman in the first video with Bloomberg and then listen to Dennis Gartman in the second. The two seem to be arguing the same point – that the G-8 austerity position of higher taxes and lower government spending is the wrong…

This Huffington Post article by Ron Paul (R-TX) and Barney Frank (D-MA) is interesting: As members of opposing political parties, we disagree on a number of important issues. But we must not allow honest disagreement over some issues to…

Kenneth Rogoff, a professor at Harvard University and former chief economist at the International Monetary Fund, talks with Bloomberg's Susan Li i Hong Kong about the global economy and China's real estate market and economy. Rogoff also…