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ilovecharts: In 2001, the CBO projected a cumulative surplus of $6 trillion. This graph shows how that surplus turned into $6 Trillion deficit. via languageofbrands

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The Spanish government, fearful of the bond markets, enacted tough austerity budget measures that decreased Spanish people’s incomes and therefore demand for the products of Spanish firms. This has pushed the country deeper into recession, so it should come as little surprise that their bond sales are now going poorly. That’s counterproductive austerity at work.… Continue reading Untitled

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So how come the roads are so bad in the richest part of the country? Can’t even the rich people get the government to do things for them in Haiti? Actually they can and do, that’s not the problem here. Here is a hypothesis that was independently proposed by three different people last summer to… Continue reading Untitled

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We’ve had dire warnings about runaway inflation for more than three years at this point. When do people start to consider that maybe they have the wrong model? Floodgates – NYTimes.com

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what the money of rich cranks does is ensure that bad ideas never go away — indeed, they can gain strength even as they fail in practice again and again. The notion that wonderful things happen if you cut taxes on the rich and terrible things happen if you raise them has a stronger hold… Continue reading Untitled