Comments on: Chandler: Congress must keep stimulus money flowing

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By: Stateside

Stateside — Fri, 16 Jul 2010 00:07:37 +0000

I don’t think repugs will be happy until we have enough poor unemployed people to become our own third world country. Have a conscience people, not just greedy thoughts.

By: The General

The General — Sun, 11 Jul 2010 17:04:44 +0000

Arthur Laffer failed to predict the housing bubble. On top of that he went around conning people in the 1980s into believing the economy was going to collapse: http://www.time.com/time/magazine/article/0,9171,949094,00.html.

On top of that even Milton Friedman thougt FDR was right to stimulate the economy with the New Deal.
Also William do you not think Kentucky benefits from TVA? Do you not think it benefits from Toyota. You probably don’t like the governments rescuing GM and Chrysler, but it was subsides by various governments to other automotive companies that gave them a competitive advantage.

By: William

William — Sun, 11 Jul 2010 15:25:36 +0000

I should note that Laffer’s article does NOT argue that unemployment benefits should be wiped out or made unavailable. He was simply arguing against Pelosi’s argument that the level of unemployment benefits should be increased (i.e., the amount that the unemployed receive). His point is that it should be no more than a safety net in times of crisis; the unemployment insurance program should not be used as a weapon of economic growth, in other words.

By: William

William — Sun, 11 Jul 2010 15:23:36 +0000

Michelle,

Arthur Laffer had an opinion on this very issue in the Thursday edition of the Wall Street Journal (he, of course, is a well-known economist, which liberals will scoff at precisely because he is Arthur Laffer…which baffles me, because ultimately one of his theories, embodied in the “Laffer Curve,” is fundamentally sound). It makes a very strong case for the folly of increasing unemployment benefits as a “job creation” stimulant (as Nancy Pelosi had suggested earlier in the week), and the fact that doing so is simply a “zero sum game” in terms of the money injected into the economy, while simultaneously damaging the incentive to work by making not working more attractive. Based on simple economics really, it is an eye-opening article, well worth a read if you can get your hands on it. He is a much more educated economist than either The General or myself.