News
CNN Money | France to relax austerity as recession bites
France has slipped back into recession and will need two more years to bring its budget deficit under control, the European Union said Friday, taking another step back from its austerity drive.
Econ Comments & Analysis
CNN Money | Waiting for the bond bubble to pop
The bond bubble keeps getting bigger, and investors are getting nervous. Junk bond yields have never been this low. And the Federal Reserve's moves have helped make it a great time to be a borrower.
Real Clear Markets | Paul Krugman Is Asking the Wrong Question
As is well known now, Carmen Reinhart and Kenneth Rogoff have landed in a policy fight recently. A study they did has been used for several years by the authors and other people to argue that high national debt-to-GDP ratios lead to lower future GDP growth. In other words, lots of government debt will slow economic growth in the future, leaving us poorer and making it harder to afford the payments on that debt.
Blogs
CATO | Where Are the European Spending Cuts?
Paul Krugman recently tried to declare victory for Keynesian economics over so-called austerity, but all he really accomplished was to show that tax-financed government spending is bad for prosperity.
Heritage Foundation | The Unknown Cost of Federal Student Loans
Starting July 1, interest rates on federal student loans are set to rise from 3.4 percent to 6.8 percent. As Congress again considers preventing the interest rate on federal student loans from doubling, the cost to taxpayers should be a central issue.
Library of Economics | My take on Reinhart and Rogoff
In the end, all the corrections advocated by the critics shift the average GDP growth for very-high-debt nations to 2.2 percent, from a negative 0.1 percent in Reinhart and Rogoff's original work.
