Leprechauns and Confidence Fairies

Writing in the New York Times, Paul Krugman is unimpressed by the latest ESRI report.

He writes: "The authors simply assert that more austerity now would lead to a lower risk premium and hence higher growth, based on no evidence I can see. They don’t even offer any quantitative assessment of the extent to which more austerity while the economy is still depressed would reduce future debt burdens."

Posted in: Inequality • Fiscal policy • Economics

Tagged with: austerity • esri • krugman