Econ Comments & Analysis
Washington Times | Budget plan that adds up
It has been more than three years (1,112 days, to be precise) since the U.S. Senate last passed a budget. The last time Senate Majority Leader Harry Reid fulfilled his legal responsibility, Conan O'Brien was still on NBC, Tea Parties hadn’t come together, and the iPad hadn’t yet been introduced.
Minyanville | Debt Contagion Is Real, and It Doesn't End With Spain
For quite some time in this letter I have been making the case that for the eurozone to survive, the European Central Bank would have to print more money than any of us can now imagine. That the sentiment among European leaders was that they were prepared for such a move was clear – except for Germany, which is haunted by fears of a return to the days of the Weimar Republic and hyperinflation.
Bloomberg | As European Austerity Ends, So Could the Euro
The euro currency is a malady that condemns at least a generation of Greeks, Italians, Spaniards, Portuguese and Irish to the economic infirmary.
WSJ | Saying No to State Bailouts
Right now, the world is wondering if European leaders have the political will to save their economies from fiscal collapse. Defaulting on their debts would trigger a domino effect that threatens the continued existence of the European Union itself.
Blogs
Calculated Risk | Gov. Brown: California Deficit increases to $16 Billion
Gov. Jerry Brown announced on Saturday that the state's deficit has ballooned to $16 billion, a huge increase over his $9.2-billion estimate in January.
The American | When the U.S. really did try austerity, it worked!
Now, we all all know “austerity” from deep spending cuts (not the tax hikes, of course) is killing Europe’s economy and would do the same here in America, right?
National Review | Some Austerity is Good Austerity
Harvard University professor Robert Barro has a piece in the Wall Street Journal this morning reminding us that some countries in Europe have successfully implemented austerity measures.
Café Hayek | The Austerity Fairy
Just a few days ago, Krugman was arguing that Europe had tried slashing spending and that we now know that that didn’t work. Now he’s admitting that spending wasn’t slashed but that it really was, even though you can’t see it.
Neighborhood Effects | Government Spending Has Shrunk…When You Ignore 44 Percent of Government Spending
Floyd Norris has made an astounding discovery. When you don’t count 44 percent of government spending, it appears that government spending has shrunk in recent years.
