“By 2020, public debt in the United States is set to reach 90 percent of GDP, a line that many economists demarcate as when accumulated debt pushes an economy to the precipice of fiscal demise. Entitlement spending remains on autopilot and some federal …
READ MORE“Just before the First World War in 1913, the German mark, the British Shilling, the French franc, and the Italian lira were all worth about the same, and four or five of any were worth about a dollar. At the end of 1923, it would have been possible to …
READ MORE“We’ve just passed the second anniversary of “economic stimulus” under President Barack Obama. Aside from spending on the stimulus itself—the actual price tag soon climbed from $787 billion to $862 billion—not much else has been stimulated. Well over h …
READ MORE“If people individually reduce their spending, the fiscal stimulists claim that government can fill the void by spending more. This is a portrait of government spending as providing a “shot of adrenaline for a slumping economy,” to cite a common image. …
READ MORE“Two top Federal Reserve officials on Monday offered conflicting views on the right response to higher oil prices, kicking off what’s likely to be a lively debate within the central bank. While Dallas Fed President Richard Fisher signaled higher oil pr …
READ MORE“The Leviathan exploitation of the revenue potential of the money-creation power is a possibility that will be among those to be reckoned with in the constitutional deliberations of the citizen when he considers the possible efficacy of granting indepe …
READ MORE“In the midst of the current financial crisis the economics profession has seen a monumental resurrection of Keynesian ideas. The debate, which Keynes started back in the 1930s, is being picked up again, not where it left off, but in exactly the same p …
READ MOREIt is reflected in Keynesian economics that the solution to a crisis is to expand aggregate demand. The economy is not producing at its maximum capacity; it is located inside its production possibilities frontier (PPF). Thus, the solution consists in t …
READ MORE“Rather helpfully, on the Bank’s website there is an explanation of how Quantitative Easing was supposed to improve the economy. Quite clearly, the Bank explains that they purchased British Government bonds (gilts) and high quality (investment grade) b …
READ MORE“The President’s budget is informed by his belief that government has a strategic role to play in guiding the economy. That means in some cases picking winners and losers and directing capital to individual industries and technologies that have a shot …
READ MORE“Many governors face more than a spending crisis. They preside over failed systems that have discouraged fiscal restraint and sometimes preferred the interests of state employees to the interests of taxpayers. “The most important changes,” says John Ho …
READ MORE“Classic Obama debt reduction: Add $2 trillion in new taxes, then add another $1 trillion in new spending and, presto, you’ve got $1 trillion of debt reduction. And what of those “painful cuts” Obama is making to programs he really cares about? The cat …
READ MORE250 Division Street | PO Box 1000
Great Barrington, MA 01230-1000
Press and other media outlets contact
888-528-1216
press@aier.org
This work is licensed under a
Creative Commons Attribution 4.0 International License,
except where copyright is otherwise reserved.
© 2021 American Institute for Economic Research
Privacy Policy
AIER is a 501(c)(3) Nonprofit
registered in the US under EIN: 04-2121305