tshile Posted February 4, 2015 Share Posted February 4, 2015 Period.. Paul Ryan's budget and his advocacy for the long discredited Austrian School of economics was comically stupid, and frighting that it appealed to so many Republicans.. It's the equivalent to pulling out leeches and blood letting to treat someone diagnosed with Cancer. No serious economist not in the employ of the GOP has considered the Austrian School of Economics since 1930's. That Paul Ryan did tells you most of what you need to know about his economic credentials. This is what pisses me off about our current situation. People are so wrapped up in the republican vs democrat part of the conversation that general discussion of the economy can never get to actual discussion about economics. We have places that chose Austerity as their way forward and we have what we did. The results to date are pretty clear. But the people posing Austerity haven't lost any real supporters. They haven't stopped suggesting Austerity like measures. Round and round we go, hitting each other with stupid bats. Lessons learned? Who has time for that? Link to comment Share on other sites More sharing options...
twa Posted February 4, 2015 Share Posted February 4, 2015 thinking our economy would parallel anothers is a mistake to begin with add http://news.investors.com/ibd-editorials/010615-733529-the-myth-of-the-eu-austerity-crisis.htm Sorry, But EU Crisis Has Nothing To Do With 'Austerity'Read More At Investor's Business Daily: http://news.investors.com/ibd-editorials/010615-733529-the-myth-of-the-eu-austerity-crisis.htm#ixzz3QjYnXZUH Follow us: @IBDinvestors on Twitter | InvestorsBusinessDaily on Facebook Link to comment Share on other sites More sharing options...
jpyaks3 Posted February 4, 2015 Share Posted February 4, 2015 thinking our economy would parallel anothers is a mistake to begin with add http://news.investors.com/ibd-editorials/010615-733529-the-myth-of-the-eu-austerity-crisis.htm Sorry, But EU Crisis Has Nothing To Do With 'Austerity' Read More At Investor's Business Daily: http://news.investors.com/ibd-editorials/010615-733529-the-myth-of-the-eu-austerity-crisis.htm#ixzz3QjYnXZUH Follow us: @IBDinvestors on Twitter | InvestorsBusinessDaily on Facebook Quoting an investors business daily article means that I have to bring up the "quality" of the IBD The IBD "claimed that physicist Stephen Hawking "wouldn't have a chance in the U.K., where the [british] National Health Service (NHS) would say the life of this brilliant man, because of his physical handicaps, is essentially worthless."[8]As Hawking has always lived in the U.K. and receives his medical care from the NHS, the editorial was widely derided." This article might actually be worse than the Stephen Hawking article. They never seem to learn Its cute that they use % of GDP to show that austerity "never happened" because the spending went up as a percentage of the GDP when they entirely miss what happened (on purpose). What happened is the GDP fell because of, you guessed it, austerity, and spending fell less fast so it looks like spending rose when it didn't. Nice way to frame the failure of austerity and throw the blame onto something else. Rather than piling on more spending, more debt and higher taxes, Europe should be cutting spending, slashing taxes and reducing regulations on the private sector and labor. The EU economy would then boom, and no one would be talking about leaving. Not even Greece. This economic "theory" never works. And they never back up their claims that it will start booming as soon as we cut taxes even more with any case studies or examples (because they don't exist). Its why Austrian Economics reject empirical evidence because empirical evidence has never been on their side. When even the IMF says austerity is a disaster then you know its bad. Link to comment Share on other sites More sharing options...
twa Posted February 4, 2015 Share Posted February 4, 2015 so their GDP fell while ours expanded and both of our debt to GPD did what? funny money and the IMF add http://blogs.wsj.com/moneybeat/2014/09/25/the-german-exception-to-the-debt-explosion/ Link to comment Share on other sites More sharing options...
JMS Posted February 6, 2015 Share Posted February 6, 2015 The scary part is the fact that when most people try to figure out how the economy is doing based on metrics, they always bring politics into it, so you can never expect to get a clear picture. I'm sure the people setting our economic policies do the same thing. Well that' one reason why the chairman of the federal reserve is an independent guy. His office gives him the ability if he so chooses to ignore politics. I do think though your position is overstated. You know who bring politics into economics. Polititians. Their isn't a lot of politics involved in seeing the US economy is growing and doing better than both Europe and china right now... Not to even mention Russia.. ( basket case ).. Likewise that the economy isn't in free fall any longer is also not a politically charged statement. Link to comment Share on other sites More sharing options...
JMS Posted February 6, 2015 Share Posted February 6, 2015 thinking our economy would parallel anothers is a mistake to begin with add http://news.investors.com/ibd-editorials/010615-733529-the-myth-of-the-eu-austerity-crisis.htm Sorry, But EU Crisis Has Nothing To Do With 'Austerity' Read More At Investor's Business Daily: http://news.investors.com/ibd-editorials/010615-733529-the-myth-of-the-eu-austerity-crisis.htm#ixzz3QjYnXZUH Follow us: @IBDinvestors on Twitter | InvestorsBusinessDaily on Facebook In response to the crisis of 2008 the US took a different approach than Europe. Europe took a more controlled austerity approach and it seems to have been a failure. Their economies have or are in the process of slipping back into a double dip recession and ours is not. It's literally two different medicines for two different patients, for the same illness. The austerity approach is state of the art Economics for the 1700's. Our approach was a modest adoption of what FDR used to end the Great Depression in his first 12 months in office after Hoover's austerity program deepened and lengthened the great depression.. Link to comment Share on other sites More sharing options...
JMS Posted February 6, 2015 Share Posted February 6, 2015 so their GDP fell while ours expanded and both of our debt to GPD did what? funny money and the IMF add http://blogs.wsj.com/moneybeat/2014/09/25/the-german-exception-to-the-debt-explosion/ Their GDP fell and their deficit did not grow as much as ours. So what they are making a year fell fell, they were making 10$ and now they are only making 8$. So their austerity, didn't work. Their economy is still not growing so they achieved nothing and are looking at the same problem they had previously. Only whatever cuts they take now are going to be in addition to what they've already cut. A race to the bottom. They have a smaller pie, and they still have the same non-discretionary costs looming. We on the other hand ate a sour ball. Yes our debt grew and our deficits went crazy for a few years. It was unsustainable in fact. But today we are growing again at a nice clip, our economy turned around and began to grow faster, and that growth has continued. So our approach ( call it the status quoe approach since Hoover screwed the pooch) seems to have delivered ongoing growth. And we are not looking at a spiralling downward economy and spending paterns resulting in our being crushed by our non-discretionary costs sometimes in the short future.. Link to comment Share on other sites More sharing options...
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