…misfired in 2022-23 when a tsunami of supply-sided deflation created a positive “real” shock – but there is no such deus ex machina lurking now. A second similar indicator is real personal…

…raise borrowing costs, and reduce the provision of credit. The financial effects of a fiscal crisis would weaken output and employment, which could lead to a debt-deflation spiral in which…

…growth in the debt deflationary economies like Spain. I’ve argued a similar point in the past. However, I’d like to add that this “perverse cult” called the European Central Bank…

The sarcasm of the title of my recent post notwithstanding, there are some things economists understand to be true that are. Among those: People respond to incentives As with the…

Remember the argument that we shouldn’t tax people because they’ll just move elsewhere? The British government appears not to believe it. Will the Geithner/Summers axis continue lying that “we can’t…