Brad DeLong and THINGS WRONG WITH HASSETT, HUBBARD, MANKIW, AND TAYLOR, "THE ROMNEY PROGRAM FOR ECONOMIC RECOVERY, GROWTH, AND JOBS"
THINGS WRONG WITH HASSETT, HUBBARD, MANKIW, AND TAYLOR, “THE ROMNEY PROGRAM FOR ECONOMIC RECOVERY, GROWTH, AND JOBS”
Notes on HHMT: Kevin Hassett, Glenn Hubbard, Gregory Mankiw, and John Taylor, “The Romney Program for Economic Recovery, Growth, and Jobs”
HHMT: We are presently in the most anemic economic recovery in the memory of most Americans, with significant joblessness and long-term unemployment, as well as lost income and savings.
WRONG: We are in the worst downturn, but we are not in the “most anemic” recovery–the recovery of 2001-2004 was more anemic. HHMT should know: three of them held high federal office in the George W. Bush administration that managed that recovery,and back then all four attempted (uncovincingly, IMHO) to rebut claims from people (like me) that the early 2000s recovery was anemic and that more stimulative policies were then needed.Why don’t HHMT make the true claim that we are in the worst downturn? Why do they make the wrong claim that we are in the most anemic recovery? Because they do not want to talk about how back when they were in office they played their role in failing to use their leverage to argue for more expansionary fiscal and monetary policies to speed the then-recovery.Why weren’t HHMT arguing, back in 2001-4, either inside or outside the government, for more expansionary fiscal and monetary policies to speed the then-recovery? I don’t know.Those of us who were so arguing would have found their help most welcome.
The list is long for a post….worth reading.
David Glaser tackles Art Laffer in Arthur Laffer, Anti-Enlightenmen Economist from the Wall Street Journal.