Lost Decade Looming?

America definitely isn’t Greece, but it is looking more and more like Japan. Inadequate recovery, not deficits, is the big problem.

Lost Decade Looming?

Let me try to deal with this a point at a time.

As an economist, you must know that the economic multiplier for spending on war making capability is less than 1, Krugman knows this.in other words, from the point of view of economic growth, war spending is drag.Wrong And the garantuan, profligate wasted in this area is something you and Obama pretend in not there. Wrong The United States has 11 aircraft carrier strike forces. The most any other country in the world has is 1. What do we get for this? Enemies all over the world. Wrong We get $.85 domestic stimulus We could cut the national deficit painlessly by cutting the war department's spending by over 50%.Cutting spending does not cut debt. Cut military spending is not spendable on other lines And then there are the small matter of congressional earmarks with all that pork barrel spending entails, corporate subsidies, tax loop holes induced by powerful lobbyists, obscenely low tax rates for the political class, etc. ad nauseum.Other lines and money not colected Yes we need more government spending to create jobs, but at what cost? With the $787 "stimulus" program Small, miss applied that you fervently advocate,False which by Obama's CBO most optimistic estimates increase employment by 2.1 million jobs, the cost was about $400,000 a job. If the government had donated $50,000 to each unemployed person,Not possible these people would have been deliriously happy. But what we got was an increasing rate of unemployment Causality and extravagant claims about how wonderful the government is from Democrats.False The Reublican alternative is nothing. Libertarians are even worse. So what is the alternative.? Next election day, perhaps I should go hiking. A very good idea.

A Tea Partying troll.

The column discusses an optimistic view of future events.

Turning Japanese is better than national default.