John Maynard Keynes

Since Krugman and Brooks Agree, They Must Be Wrong

I'm guessing that Paul Krugman and David Brooks don't hang out that much together.  So when both turn up on the New York Times op-ed page this morning with columns calling for massive government spending, I'm assuming they came to their conclusions independently.  My working hypothesis: if Krugman and Brooks agree on something this important, they must be wrong.

Here's Krugman's prescription, which comes in response to news that consumer spending has dropped sharply [emphasis added throughout]:

[W]hat the economy needs now is something to take the place of retrenching consumers. That means a major fiscal stimulus. And this time the stimulus should take the form of actual government spending rather than rebate checks that consumers probably wouldn’t spend.

Let’s hope, then, that Congress gets to work on a package to rescue the economy as soon as the election is behind us.

From Brooks: