Sunday, November 16, 2008

The Likely Result of Krugmanian Economics: bartering cuckoo clocks for bread

My latest post on the Blog at Mises.org:








The Likely Result of Krugmanian Economics: bartering cuckoo clocks for bread

Jim Fedako


Krugman is advocating a new stimulus package of some $600 billion. Since his number was derived using current conditions and "back-of-the-envelope calculations," expect the amount to grow as the economy worsens. According to my you-have-got-to-be-kidding calculations, $600 billion is $2,000 per capita, $16,000 for my family of eight, and a whole lot of paper nothing.

Question: When should my wife plan to begin loading wheelbarrows of
newly-printed paper each morning in a desperate race to obtain real wealth?

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