Stimulus and the broken window fallacy

As the President gets ready to propose yet another stimulus I thought it might be nice to review a centuries old retort to government spending as a solution to economic ills called “the broken window fallacy”. First proposed by 19th century Frederic Bastiat a French classical liberal theorist, political economist. It’s a short video but one worth watching and remembering when a neo-liberal proposes more government spending. Read more

Krugman: Let’s get serious about those death panels

Well, it’s not like we didn’t tell you this was where the left was headed. On This Week’s roundtable, the discussion was serious ways to cut the deficit and the debt. It didn’t take Dr Krugman long to get to the heart of the matter … so to speak. Read more