Zero job growth, with unemployment still at nosebleed levels. Meanwhile, the interest rate on 10-year US bonds is down to 2.04%, and it’s negative on inflation-protected securities.
Aren’t you glad we pivoted from jobs to deficits a year and a half ago?
Meanwhile, on the other side of the pond, Is austerity killing Europe’s recovery?
After more than a year of aggressive budget cutting by European governments, an economic slowdown on the continent is confronting policymakers from Madrid to Frankfurt with an uncomfortable question: Have they been addressing the wrong problem?
Too bad there weren’t any prominent economists warning that the obsession with short-term deficits was a terrible mistake, that austerity would undermine hopes of recovery. Oh, wait.
This is Krugman’s fault for spending all him time arguing for alien invasions and breaking windows rather than a fact based analysis of the economy to guide practical, implementable public policy. Oh, wait.