poor old Katesy.
There is he writing utter nonsense amongst people whom wouldn't know.
Now he writes about the foolishness of Keynesian economics,
oh dear. if there has been a person more ignorant or stupid who has written in the blogsphere I have yet to encounter him or her.
Katesy is the man who thinks Europe went on a Keynesian pump priming scourge. Except they didn't. They introduced contractionary policies that everybody acknowledged , even the Germans, but not out Katesy.
Those wonderful classical economic policies did not produce any recoveries anywhere. It did produce depressions. Just ask Ireland, Greece or even Estonia!
One of his great comments was that the statisticians were all Keynesians. You cannot trust any of them.
I do remember one time when he was mouthing off against Obama he claimed the government spending was destroying the economy, However that quarter as with many quarters the public sector did not add to GDP growth.
Lets us add understanding Statistical agency bulletins to basic statistics that he doesn't understand.
He says Costello ,by implication , adapted Classical economics.
When they won office in 1996 Treasury recommended tight economic policies. This was actually totally Keynesian and it was said as much.
By the end of their Government Peter Boxall was recommending a classical type policy in keeping the surplus at 2% of GDP. This was clearly not contractionary enough given events in Australia and hence we got increased inflation which is what Ken Henry said what would happen.
We must not forget he rewrites history. Keating and Costello were facing recessions when they got their budgets back to surplus apparently.
The only reason he writes at Catallaxy is Davidson will not allow anyone yo comment on how inaccurate out Katesy is. He bans anyone who do not write along the politburo there spouts,
That is why basic mistakes by anyone there gets through and no-one spots them. They do not posses the nous to do so. that is why no-one commetns anywhere else. Like Our Judy they will leave with their tail between their legs after her Troppo fiasco,
Just remember our tax dollars are paying this man!
okay okay. for efficacy of stimulus see here
I see Katesy is now saying people fleeing ISIL will end up terrorists. Wow.What an intellect.
He keeps on supporting Abbott.
The man who increased both deficits and debt. the man who said he would be the infrastructure Prime Minister but had such spending at its lowest level of GDP.
A man who both stopped the boats but also turned them back.
Yep it is no wonder Katesy supported the man.