Wednesday, 14 February 2018

Is it possible to be this ignorant?

Our old mate Katesy was always a bit of a looney tunes but it seems he wants to go further. now the Trump is in charge of Chaos house!
Here he is
He wonders about  why there is no revolt against Keynesianism

Oh dear! where do we start?
Perhaps with Henry Farrell and John Quiggin's excellent piece on hard keynesianism.
Just read this
'Contrary to the beliefs of nearly all anti-Keynesians — and, regrettably, some Keynesians, too — Keynesianism demands more, not less, fiscal rectitude in normal times than does the orthodox theory of balanced budgets that underpins the EU.'

 They are writing in 2011.
 Kates thought because there were budget deficits in the euro-area they were expansionary when they were quite contractionary. If only he and other understood fiscal policy!
Herein lies the problem he is anti-keynesian but has no idea of what Keynesianism actually is.
No wonder he is a Trump apologist.
He still has no understanding there is a seasonal pattern to revenue receipts in the USA. the Budget goes in to surplus for a very short period. It did this under Obama but our Stevey does not know this.
Kruggers has a short snappy article on when deficits are needed and when they are not in the USA.

You would think he might put two and two together if the US public debt is rising but again not our Stevie.

I guess the other thing to say he also has no self awareness. Just like Trump he is showing ignorance on a large scale but does not know it.