The Question of another Stimulus needs a closer look

 

The Keynesians love it, NYT’s love it - more stimulus.   Link

The view expressed in the video at right covers the basics of stimulus spending.

 

The Austrians are predicting a serious negative impact down the road of any stimulus spending.

 

Since the economy is not showing a strong recovery, another stimulus is being discussed, here in the 3rd Quarter of 2012. 

 

  Krugman and his man are however smiling.  More of the same is the doctors’ orders apparently.  

 

 For the rest of us we might just well face a period of stagflation, just when you thought that lesson was learned back then.   Jimmy Carter meet your clone:  Obama and his crew. 

 

So if these stimulating folks are wrong, then a deeper hole to climb out of, will be the outcome.   And they will then ask for another stimulus, for this shows they will never learn. 

 

Brace yourselves folks, we are in for a long correction here, especially without a new President any time soon.   I know that the doomsayers are often too dramatic and sometimes wrong, but it would appear this time we are seeking wrong ideas to fix a problem that is all about too much government intervention with the proposed fix of even more government.

 

Paradoxes continue.   What will historians write about the intelligence of our era?

 

Comments

How will the future citizens, who are not the children today, view the stimulus mentality?