Attention Economy


Monday, August 15, 2016

The Fiscal Stimulus Debate

An interesting piece from Robert Samuelson of The Washington Post:
“It’s worth remembering that China essentially did what American critics suggest we should have done — and should do now. China launched a huge stimulus program in 2008 (bigger than ours relatively) of public-works spending and industry investment. This did shield China from the worst of the crisis. But it didn’t solve China’s underlying economic problems, which are now worse for having festered.”

The Economist on fiscal multipliers:
http://www.economist.com/news/economics-brief/21704784-fiscal-stimulus-idea-championed-john-maynard-keynes-has-gone-and-out