News
WSJ | How a Radical Greek Rescue Plan Fell Short
Two years after Europe bailed Greece out to protect the euro, the rescue has become a debacle that threatens to unravel the common currency.
Econ Comments & Analysis
WSJ | Stimulus Spending Keeps Failing
The weak economic recovery in the U.S. and the even weaker performance in much of Europe have renewed calls for ending budget austerity and returning to larger fiscal deficits.
NY Post | Soaking everybody won’t fix the debt
Start with those making $1 million or more a year. For 2012, the Joint Committee on Taxation (Congress’ official estimator) estimates that these super-rich will make up just 0.3 percent of all tax filers and pay $269 billion in income tax (23.6 percent of the income-tax total). Even doubling their income-tax bill would leave us $1 trillion short.
Blogs
Café Hayek | The slashed spending of European governments
My point is that if you’re going to claim that the virtue of “slashing government spending” has been “overwhelmingly refuted by the experience of the last two years” you ought to at least provide some evidence that there have been spending cuts in the last two years.
Marginal Revolution | Economic growth is not contractionary, and other confusions about stimulus and spending
Let’s say that private gdp is 100 and government spending is 100. Gdp then suddenly goes up to 200, so government spending as a percentage of gdp falls from 50% to 33.3%. This is not a contractionary event.
Café Hayek | Alternatives to austerity
What should you do when you find out that you can’t pay your bills? You have two choices. You can default on your obligations or you can borrow money to make up the difference.
Daily Capitalist | Austerity Is Blamed Not Praised
Denial is leading to collective economic suicide in Europe and the United States. The French on Sunday elected a socialist president who wants to raise taxes on those elusive rich and keep spending as if there is no tomorrow.
