One of the common counters to the call for sound money (a real gold standard) is the quip; “What’s the real golden rule? Whoever has the gold makes the rules.” And then some silly half baked mix of Keynesianism and Marxism usually follows along with whatever the commentor picked up in their Econ 102 course years ago.
But the truth is gold rewards thrift (which many of the ruling economists despise, they want you to spend at all costs) and hard work.
A generally great organization.
We regard Keynesianism as the ideological cover for crony capitalism (really the same system) and therefore find it odd that CATO, a libertarian group, would support work that we would expect to come from Keynesian/ anti-libertarian economists such as Robert Shiller or Paul Krugman.
No one is perfect we suppose.
From Paul Singer’s letter to investors,
Paul Krugman is famous for having said essentially that one of the ways the US could pull itself out of the current recession/depression is by mobilizing for an alien invasion. A War of the Worlds would do the trick. Everyone could build space ships and laser guns and whatever to fight the otherworldly menace. Stimulus. Full employment!
Don’t worry Isaac. No one can, including and especially the Keynesian economists.
John Aziz is the economics and business editor at The Week. I have to say that I at one time considered buying a subscription to this publication. Having just read Aziz’s piece, where he argues that bubbles are perfectly natural things which sometimes are good, I am sure that The Week will not be finding its way onto my Kindle.
The times they are a changin.’
They are referring to the widely read and sited “Libertarian Moment” article in the New York Times Magazine of last week.
By no means a libertarian puff piece, it simply reports on the new found prominence of libertarianism generally.
We argued that there actually was no “moment,” but an emergence of a political philosophy which simply works better in the 21st Century than the top down command and control methods of the 20th Century,
There does seem to be a shift in the economic, political, and intellectual winds these days. The world would be better off if Krugman was blown by the gale and onto the plain, far from civilization and deep into the wilderness.
Dr. Krugman fears that Bitcoin was created to further a “libertarian agenda,” undermining central banks and their power.
Paul Krugman just does not see how free markets and prices could appeal to anyone, but particularly and especially to those who are not wealthy. The poor have no interest in an economy which is free he believes. The best the poor (indeed most people who are not as privileged as he is) can hope for are the bits and pieces, the dregs, a socialized economy can “provide.” The best bet for the poor is always is in the collective.
Charles Hugh Smith asks this. The answer is simple.
All hell breaks loose.
I disagree with some of the nuances of this piece but generally I agree with it. Krugman and his incessant drive for even more deficit spending is foolish. Arguing that what he calls “austerity” (Austerity involves both cuts and increases in taxes by the way, it’s not just cuts. I don’t hear anyone calling for real “austerity” anywhere) is the wrong way to go and instead that profligate spending is the wise economic tack is ludicrous.
Always good to have a little perspective. But debt and deficits don’t matter we are told. So don’t worry.
And fail it does, over and over. But it’s a religion. To lose faith in Keynes is to admit everything many economists have stood for their entire careers is wrong.