I must wonder, if there's so many economists that known that's wrong with the economy of a country such as United States, why don't they fix it?
This [url=http://www.youtube.com/watch?v=PTUY16CkS-k]video (kind of funny actually)[/url] explains a lot of things and the problems that needs to be fix and etc.
I mean, it seems to me it is so obvious what we need to do after just taking an introductory course to macroeconomics, I mean, now I know not to spend $800 billion on a stimulus legislation that will hardly stimulate anything.
What do you guys think? Any of you took a micro/macro economic course before and had your mind changed after finishing it?
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[quote][b]Posted by:[/b] theHurtfulTurkey [quote][b]Posted by:[/b] Mr Libertarian Also, stimulation worsens the economy.[/quote] Yeah, increasing the money supply, there's no way that could help promote GDP growth...[/quote] Look theory is that every dollar the government spends is income for someone who, when he spends that income, provides income for another person. This is the Keynesian multiplier effect. The Government gets this money from taxing, borrowing, and inflating money. When the Government does these things, the regions of Jobs are destroyed and then new areas have artificial jobs. There has been no proof over economic growth and stimulus. Why? Because art.boom = art.bust + the new amount of debt (or inflation) that the country receives.