12-29-2009, 11:15 AM
[url="http://online.wsj.com/article/SB10001424052748703278604574624151582763912.html"]Prepare for a Keynesian Hangover[/url]
Our government's spending orgy will haunt us in 2010.
Our government's spending orgy will haunt us in 2010.
Quote:We will pay the price for this decision in 2010. That's because the Obama administration and the Federal Reserve are plowing forward with Plan B: Nationalize credit creation and "stimulate" the private sector by spending in its stead.
Richard Nixon's famous line, "We're all Keynesians now" never seemed more apropos. With the budget deficit at an eye-popping $1.4 trillion, and on track to stay above $1 trillion indefinitely, Berkeley economist Brad DeLong writes breezily in his Nov. 30 blog that "anything that boosts the government's deficit over the next two years passes the benefit-cost testââ¬âanything at all."