How Washington's Policymakers Are Damaging the U.S. Economy

Seeking Alpha ^ | October 18, 2009 | Kimball Corson

[arthurus]

On his blog recently, Paul Krugman has a post on how we are doing in our effort to increase current GDP. It seems, the target of Keynesians, ever and always, is raising GDP a bit more, in both good times and bad times. In fact, I believe that effort goes a long way toward creating an on-going boom and bust cycle and asset bubbles in the U.S. One problem, not well understood, is that policy has serious implications for the longer run welfare of the U.S. economy.

[arthurus]

... the “bottom of the class” guys in economics go to Wall Street and the top of the class guys get good academic positions. If that is so, how come the Wall Street group seems to understand these notions intuitively, but apparently, the academic types from the top of the class don’t.

The "bottom" guys maybe are in a hurry to get into the work world and make money. The "top" guys stay in school and take more courses and get way away from basic economics into esoterica and prefer a sinecure to getting actually rich.

[parsifal]

OTOH: How Wall Street Will Kill the Recovery:

http://www.freerepublic.com/focus/f-news/2368002/posts

parsy, who is caught between two worlds