Comments on: Progressives for Exploitation http://www.juliansanchez.com/2007/04/19/progressives-for-exploitation/ Just another geek in the geek kingdom Thu, 09 Feb 2012 05:38:37 +0000 hourly 1 http://wordpress.org/?v=3.2 By: Brian Moore http://www.juliansanchez.com/2007/04/19/progressives-for-exploitation/comment-page-1/#comment-2052 Brian Moore Thu, 19 Apr 2007 22:18:25 +0000 http://juliansanchez.com/?p=1737#comment-2052 Ouch. When Krugman shoots you down with free market principles, you know you're in trouble. I did find this one line from Krugman's critique to be laughable: "Here again, however, there is a deeper answer. It is possible for economies to suffer from an overall inadequacy of demand--recessions do happen. However, such slumps are essentially monetary--they come about because people try in the aggregate to hold more cash than there actually is in circulation. (That insight is the essence of Keynesian economics.) And they can usually be cured by issuing more money--full stop, end of story" Yup, that worked pretty well in the 70's, didn't it? Ouch. When Krugman shoots you down with free market principles, you know you’re in trouble.

I did find this one line from Krugman’s critique to be laughable:

“Here again, however, there is a deeper answer. It is possible for economies to suffer from an overall inadequacy of demand–recessions do happen. However, such slumps are essentially monetary–they come about because people try in the aggregate to hold more cash than there actually is in circulation. (That insight is the essence of Keynesian economics.) And they can usually be cured by issuing more money–full stop, end of story”

Yup, that worked pretty well in the 70′s, didn’t it?

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