Monday, January 2, 2012
Why the family economy = country economy analogy is wrong
Krugman has a valuable note debunking the family economy = country economy analogy. This is probably the most common and persuasive argument used by the right in favor of country-destroying austerity to reduce debt, instead of increasing investment in public goods and taxes on the rich to make the country grow. Thanks, Paul. As a side note, it is pretty striking to see Krugman, with his Nobel Prize and perch at the New York Times, express the same kind of frustration at his words not having an impact, like an obscure blogger, such as er this one.