Fiscal Policy

Thursday, April 7th, 2011
"The proposal represents the most comprehensive philosophical statement by resurgent Republicans since they claimed control of the House in last fall’s midterm elections.
Wednesday, April 6th, 2011
"The Federal Reserve shows few signs of easing its aggressive efforts to stimulate growth before the middle of the year, according to the minutes of the most recent meeting of the central bank’s policy making committee.
Wednesday, March 30th, 2011
"The benefit of maintaining price stability in the eurozone as a whole, and thereby keeping the inflation risk low, becomes even greater in times of crisis. At the height of the financial crisis, the ECB lowered interest rates aggressively in the face of downside risks to price stability.
Wednesday, March 30th, 2011
"For the fiscal year 1934, based on the appropriation bills passed by the last Congress and the estimated revenues, the deficit will probably exceed $1,000,000,000 unless immediate action is taken. Thus we shall have piled up an accumulated deficit of $5,000,000,00.
Tuesday, March 29th, 2011
"One would hope that the supposed “great minds” at the Fed and in academic economics would better understand inflation and its destructiveness, but that is not to be. First and most important, the lack of inflation is not the enemy of the economy.
Tuesday, March 29th, 2011
"A long time ago, in a galaxy far, far away, the American dream was going to hell in a handbasket. I speak, of course, of 1980, a time that seems as remote to the elite imagination as those of the days of America’s founding.
Monday, March 28th, 2011
"The financial strains created by crises in Japan and Europe highlight a growing problem: The rich world is getting close to the point where it won't be able to bear the costs of another disaster.
Friday, March 25th, 2011
"Costly though it has been, the financial crisis has merely brought forward a fiscal reckoning. In most of the rich world ageing populations have been driving up the cost of public health care and state pensions.
Wednesday, March 23rd, 2011
"In a series of newspaper columns last year, Don Boudreaux compared the economy to a giant jigsaw puzzle with billions of pieces that can fit together in numerous combinations only a small number of which produce a meaningful pattern or picture.
Tuesday, March 22nd, 2011
The most important matter to anyone concerned with expanding freedom by limiting government is the matter of sound money. In fact the definition of sound money boils down to freedom of choice in money. Alternatively, control of the money is the source of a government’s unlimited growth.
Thursday, March 17th, 2011
"I long have believed there are two schools of thought on our current economic crisis and its effect on the federal government’s budget. The first is that the government must stop destroying the dollar, cut back all spending, and give up trying to “stimulate” the economy back to health.
Wednesday, March 16th, 2011
"By 2020, public debt in the United States is set to reach 90 percent of GDP, a line that many economists demarcate as when accumulated debt pushes an economy to the precipice of fiscal demise.
Friday, March 11th, 2011
“Just before the First World War in 1913, the German mark, the British Shilling, the French franc, and the Italian lira were all worth about the same, and four or five of any were worth about a dollar.
Wednesday, March 9th, 2011
“We’ve just passed the second anniversary of "economic stimulus" under President Barack Obama. Aside from spending on the stimulus itself—the actual price tag soon climbed from $787 billion to $862 billion—not much else has been stimulated.
Tuesday, March 8th, 2011
"If people individually reduce their spending, the fiscal stimulists claim that government can fill the void by spending more. This is a portrait of government spending as providing a "shot of adrenaline for a slumping economy," to cite a common image.
Tuesday, March 8th, 2011
"Two top Federal Reserve officials on Monday offered conflicting views on the right response to higher oil prices, kicking off what’s likely to be a lively debate within the central bank.
Monday, March 7th, 2011
"The Leviathan exploitation of the revenue potential of the money-creation power is a possibility that will be among those to be reckoned with in the constitutional deliberations of the citizen when he considers the possible efficacy of granting independent powers of money creation to government.
Wednesday, March 2nd, 2011
"In the midst of the current financial crisis the economics profession has seen a monumental resurrection of Keynesian ideas. The debate, which Keynes started back in the 1930s, is being picked up again, not where it left off, but in exactly the same place it started.
Thursday, February 24th, 2011
It is reflected in Keynesian economics that the solution to a crisis is to expand aggregate demand. The economy is not producing at its maximum capacity; it is located inside its production possibilities frontier (PPF).