Keynes, my friend. And applying that paradigm to this spending bill we
find, hmmm...

spending on shipyards -- hmm, might be good if they are publicly
owned. Could make better transport possibilities available, depending
on exactly how the money is allocated.

spending on auto makers -- bad. This is infrastructure but it is
privately owned, and the people who own it tend not to follow through
on their promises. Supposedly this is to be spend on improving fuel
economy but nobody is holding their breath.

Pell grants -- good. Improve the quality of workers available.

WIC -- not sure. Depends on what they are doing. If the money is
actually improving nutrition for children, good. Improves human
capital and amounts to increased purchases of tangible goods, If it's
some BS reorganization, bad. If it's a shift to some sort of card from
paper, good as this amounds to a purchase of tangible goods.

The above analysis is based on not having read the details of the bill
and does not take into account how bloated it is with various
earmarks.

But in Keynesian economics, if recession threatens, the way out is to
pay people to produce tangible goods or improve infrastructure. If you
have to you print the money to do it. It sucks that we are already in
debt to our eyeballs, but that's the cure for the life-threatening
disease; the side effects can be addressed later.

So in this view people don't have enough money so they start
defaulting on their debt and it all goes kahooney-shaped from there.

On Mon, Sep 29, 2008 at 9:23 PM, Gruss Gott <[EMAIL PROTECTED]> wrote:
>> RoMunn wrote:
>> hmm... yeah, ok, maybe so- LOOK OUT BELOW!!!!!!!
>>
>>
>
> Back when we used to agree on things we could've said we were both
> trickle-down guys.
>
> Probably beginning last year I started rethinking things and then I
> officially admitted, on this board - on July 23rd, 2 months before the
> meltdown I might add cause I rule - that Dana was right and I was
> wrong.
>
> I flip-flopped.  I admitted that Dana was directionally correct.
>
> What I don't have figured out is why.  I suspect I know, but the idea
> is too young and I don't know enough so I'm going to have to talk to
> people and read stuff to figure it out.
>
> Unless you've got any good ideas.
>
> 

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