http://www.plain-sense.com/2009/06/03/between-a-rock-and-a-hard-place/ For students and friends of economics Fri, 03 Feb 2012 01:36:33 -0800 http://wordpress.org/?v=2.8 hourly 1 http://www.plain-sense.com/2009/06/03/between-a-rock-and-a-hard-place/comment-page-1/#comment-6229 Doug Gentry Thu, 19 Aug 2010 13:42:07 +0000 http://www.plain-sense.com/?p=111#comment-6229 Oh, I'd argue differently. It's possible, and even at times desirable to plan for a deficit. This was Keynes' message to Depression-era economies - that short term, temporary deficits in the name of stimulating demand were good policy. Our challenge is how to avoid structural deficits that linger beyond the short term stimulus requirements. In today's (August 2010) climate I am not a deficit hawk. We still need well-targeted government spending and (holding my nose) thoughtful tax cuts. Not much of that going around at the moment. Oh, I’d argue differently. It’s possible, and even at times desirable to plan for a deficit. This was Keynes’ message to Depression-era economies – that short term, temporary deficits in the name of stimulating demand were good policy. Our challenge is how to avoid structural deficits that linger beyond the short term stimulus requirements. In today’s (August 2010) climate I am not a deficit hawk. We still need well-targeted government spending and (holding my nose) thoughtful tax cuts. Not much of that going around at the moment.

]]> http://www.plain-sense.com/2009/06/03/between-a-rock-and-a-hard-place/comment-page-1/#comment-6228 Nihal Kiriella Thu, 19 Aug 2010 13:32:51 +0000 http://www.plain-sense.com/?p=111#comment-6228 Deficit budgeting a sine qua non Deficit budgeting a sine qua non

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