Re: Re: Re: Re: RE: Re: Keynesians and Post Keynesians and growth

[Jim Devine]

>>>Max Sawicky wrote: > Anybody know their 'full-employment budget deficit' 
>>>these days?<


>>Doug writes:
>>>The IMF says about 6% of GDP; the OECD says about 7%. That's pretty 
>>>serious stuff.

I wrote:
>>Doug, don't you mean a full-employment budget surplus?

Doug answers:
>No, deficit.

then the US government is stimulating its economy? Or is the benchmark 
unemployment rate equal to, say, 6% (compared to the actual rate of 4.1%) 
so that tax revenues are low (and transfer payments are high) compared to 
actual, so that at this benchmark the US government has a deficit? This 
suggests only that the benchmark unemployment is wrong.

Is the US "full employment" deficit rising or falling?

Jim Devine [EMAIL PROTECTED] &  http://liberalarts.lmu.edu/~jdevine