Does the Deficit Matter? Op-Ed Ny Times

[BUFORDGAWOLVES]

Not a bad read. 

https://static.nytimes.com/email-content/TY_1118.html?nlid=74997896

[DarterBlue]

1 minute ago, BUFORDGAWOLVES said:

Not a bad read. 

https://static.nytimes.com/email-content/TY_1118.html?nlid=74997896

For what it's worth, from a former Economist, me. Yes, debt and deficits do matter. In the short run, deficit financing and increasing National Debt may be necessary. That is one, useful tool to bring an economy out of recession. This is what used to be standard Keynesian Economics. However, running up deficits leading to an ever increasing National Debt is a huge problem. It is a problem that has been faced by countries as disparate as the German Weimar Republic and Mugabi's Zimbabwe. And it always ends very badly. 

One can debate the merits and ills of Obama's policies when he was confronted with the financial meltdown he inherited. It certainly led us further down the path to unsustainable debt. However, at least it could be "rationalized" based on the horrible economic circumstances he faced. Today, deficit/debt increasing policies make no sense from a national standpoint. So far the USA has been somewhat insulated from the bad effects of this policy. For we have the World's premier reserve currency. However, as we go further down this path, more and more countries will decided that dollar denominated assets may not be a good idea. When this becomes etched in the psyche of the rest of the world, it will become a monumental problem. 

[Horsefly]

21 hours ago, DarterBlue said:

For what it's worth, from a former Economist, me. Yes, debt and deficits do matter. In the short run, deficit financing and increasing National Debt may be necessary. That is one, useful tool to bring an economy out of recession. This is what used to be standard Keynesian Economics. However, running up deficits leading to an ever increasing National Debt is a huge problem. It is a problem that has been faced by countries as disparate as the German Weimar Republic and Mugabi's Zimbabwe. And it always ends very badly. 

One can debate the merits and ills of Obama's policies when he was confronted with the financial meltdown he inherited. It certainly led us further down the path to unsustainable debt. However, at least it could be "rationalized" based on the horrible economic circumstances he faced. Today, deficit/debt increasing policies make no sense from a national standpoint. So far the USA has been somewhat insulated from the bad effects of this policy. For we have the World's premier reserve currency. However, as we go further down this path, more and more countries will decided that dollar denominated assets may not be a good idea. When this becomes etched in the psyche of the rest of the world, it will become a monumental problem. 

If you don't mind me asking what is your background?  Who were you an economist for?

[noonereal]

22 hours ago, BUFORDGAWOLVES said:

Not a bad read. 

https://static.nytimes.com/email-content/TY_1118.html?nlid=74997896

reminded me why I don't read Op-ed's. 

[BUFORDGAWOLVES]

5 minutes ago, noonereal said:

reminded me why I don't read Op-ed's. 

HS level English not enough of a challenge for you?

Hahaha... may be we can find some mind numbing higher level reading for you?

[concha]

4 minutes ago, BUFORDGAWOLVES said:

HS level English not enough of a challenge for you?

Hahaha... may be we can find some mind numbing higher level reading for you?

nooner is still powering through See Spot Run.

[noonereal]

7 minutes ago, concha said:

nooner is still powering through See Spot Run.

I love that book!

[noonereal]

13 minutes ago, BUFORDGAWOLVES said:

HS level English not enough of a challenge for you?

Hahaha... may be we can find some mind numbing higher level reading for you?

I much prefer a row of numbers and my own built in processor. 

Look at @DarterBlue post. Far better than than mr. Leonhardt.

Ok, I am not normal, I know it. For example, when a story breaks I rush to reason through it, intentionally, before the pundits start to spin it. Why? Because once they do, the distortions make a reasoned evaluation near impossible. 

Editorials are just some guys opinion. Generally agenda driven. 

I have never understood why people read editorials at all. 

 

 

[DBP66]

it only seems to matter when there is a Democrat in the White House...Republicans and deficits??...like peanut butter and jelly...

[DarterBlue]

1 hour ago, Horsefly said:

If you don't mind me asking what is your background?  Who were you an economist for?

I was an Economist at the Bank of Jamaica (Jamaica's FED) for 2 1/2 years before migrating to the USA. At the time we were under an IMF austerity program. I worked primarily with the IMF representative that was stationed in Jamaica. I helped her monitor the country's compliance with the program and worked with her on various Econometric models with respect to Jamaica's Balance of Payments situation. 

[Horsefly]

10 minutes ago, noonereal said:

I much prefer a row of numbers and my own built in processor. 

Look at @DarterBlue post. Far better than than mr. Leonhardt.

Ok, I am not normal, I know it. For example, when a story breaks I rush to reason through it, intentionally, before the pundits start to spin it. Why? Because once they do, the distortions make a reasoned evaluation near impossible. 

Editorials are just some guys opinion. Generally agenda driven. 

I have never understood why people read editorials at all. 

 

 

It's easier to have someone telling them what to think on a subject.  Then they walk around town n forums repeating it as if it was their own. 

[noonereal]

Just now, Horsefly said:

It's easier to have someone telling them what to think on a subject.  Then they walk around town n forums repeating it as if it was their own. 

I think you may be correct that people are often just intellectually lazy. 

 

[DarterBlue]

3 minutes ago, Horsefly said:

It's easier to have someone telling them what to think on a subject.  Then they walk around town n forums repeating it as if it was their own. 

I laughed, but it's actually pretty sad. The biggest thing missing from education in the USA is critical thinking. But to have an open, democratic society, it's necessary. Go figure ... 

[Horsefly]

1 minute ago, noonereal said:

I think you may be correct that people are often just intellectually lazy. 

 

Bingo.  It can be dangerous as it becomes easier to manipulate people

[Horsefly]

4 minutes ago, DarterBlue said:

I laughed, but it's actually pretty sad. The biggest thing missing from education in the USA is critical thinking. But to have an open, democratic society, it's necessary. Go figure ... 

Yep, it's lacking so much the university I taught at for a while introduced a critical thinking course ( I taught it for a semester) to help fill student's deficiency gap.  

[noonereal]

16 minutes ago, Horsefly said:

Bingo.  It can be dangerous as it becomes easier to manipulate people

People don't change much. It was always easy to manipulate people and if anyone does not think so, look at our country today and the success of arguably the world biggest liar.  

[concha]

20 minutes ago, noonereal said:

I think you may be correct that people are often just intellectually lazy. 

 

    

Thanks for this one.

The irony train keeps on chuggin'

[BUFORDGAWOLVES]

53 minutes ago, noonereal said:

I much prefer a row of numbers and my own built in processor. 

Look at @DarterBlue post. Far better than than mr. Leonhardt.

Ok, I am not normal, I know it. For example, when a story breaks I rush to reason through it, intentionally, before the pundits start to spin it. Why? Because once they do, the distortions make a reasoned evaluation near impossible. 

Editorials are just some guys opinion. Generally agenda driven. 

I have never understood why people read editorials at all. 

 

 

Look for trigger points, or agreement. I’d rather hear a point of view that a media blast on msm. 

Thats just me. 

And yes, Darter is that nsightful from that perspective.