You lose. The argument is quite clear. Perhaps you should ask your friends the same question about their endorsing it.
If Canadian politics is leading indicator for the US, the republicans are in trouble
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This weekend, my 7 year old was playing "zombies" on the playground with some other 2nd graders. The object of the game was for the zombies to tag the kids on the other side. If you were tagged, you became a zombie. Two kids got into it over whether or not one person was tagged. One little spoiled kid was screaming "you lose!" over and over again, clearly under the impression that because he said it loud enough, it was true.
I'm a little sketchy on Canadian politics, I'll admit. You know, it being so insignificant in anything involving the rest of the human race. What is a "progressive conservative" in Canada?
First you insult me and then you ask a question hoping for clarification?
First you insult me and then you ask a question hoping for clarification?
Nah, I generally only care about insulting you. The "question" asked was just another backhanded insult. I had thought that would be obvious, my bad.
Who in their right mind would want you as a friend?
First you insult me and then you ask a question hoping for clarification?
You posting "How to win friends & influence people" truly gave me a chuckle on a Monday morning.
Monday, 26 October 2015
Keynes never left Canada, and intends to stay
"Nick Rowe has a post where he points out that the outgoing Conservatives did not abandon Keynes during the Great Recession. He takes a graph of government spending from an article by Matthew Klein, but we can make the same point be looking at the underlying primary balance. (As I have noted many times, no measure of fiscal stance is ideal. If you want a more detailed analysis of the Canadian macro position than I will give here, read the Klein article.) According to the OECD, this moved from a surplus of 2% of GDP in 2006 to a deficit of 3.2% of GDP in 2010. We saw a similar countercyclical swing in fiscal policy in the US, but whereas that swing was sharply put into reverse in the US, in Canada the deficit was still 1.8% in 2013. (The UK was like the US except the peak deficit was in 2009, and the reverse was well under way by 2010.)
"So we saw a classic Keynesian fiscal policy in Canada. Partly as a result, Canadian GDP only fell by 2.7% in 2009 and grew strongly in the next two years. That in turn meant that short interest rates only stayed on their floor for just over a year, and rose to 1% during 2010. So it all looks like a textbook New Keynesian policy, and close to the one recommended in Portes and Wren-Lewis: fiscal expansion helped get interest rates above their lower bound.
"That was then. More recently GDP has been falling, and interest rates have been cut to 0.5%. So is it time for a tight fiscal policy, or instead some additional deficit financed public investment? Ask the man on the escalator, the new Canadian Prime Minister. In the election Trudeau played a classic Keynesian card (Labour leadership please note). Both his two opponents criticised this deviation from a balanced budget policy. Trudeau won, so Keynes remains in Canada. While interest rates may not have yet hit their lower bound, it makes sense to borrow to invest when rates are low and when there is a significant risk rates could hit ‘zero’ (Osborne please note).
"Unlike governments in Europe and the US, Canada did not dash for austerity just as the recovery was beginning and while interest rates were still on their floor. They had a clear choice a week ago to allow a deficit to finance investment or go for a balanced budget, and they chose the more sensible fiscal policy. I think there are two lessons beyond Canada. First, right wing governments do not have to make major macroeconomic policy mistakes with fiscal policy. Second, voters do not always suffer from deficit fetishism."
http://mainlymacro.blogspot.ca/2015/10/keynes-never-left-canada-and-intends-to.html
Keynes never left Canada, and intends to stay
"Nick Rowe has a post where he points out that the outgoing Conservatives did not abandon Keynes during the Great Recession. He takes a graph of government spending from an article by Matthew Klein, but we can make the same point be looking at the underlying primary balance. (As I have noted many times, no measure of fiscal stance is ideal. If you want a more detailed analysis of the Canadian macro position than I will give here, read the Klein article.) According to the OECD, this moved from a surplus of 2% of GDP in 2006 to a deficit of 3.2% of GDP in 2010. We saw a similar countercyclical swing in fiscal policy in the US, but whereas that swing was sharply put into reverse in the US, in Canada the deficit was still 1.8% in 2013. (The UK was like the US except the peak deficit was in 2009, and the reverse was well under way by 2010.)
"So we saw a classic Keynesian fiscal policy in Canada. Partly as a result, Canadian GDP only fell by 2.7% in 2009 and grew strongly in the next two years. That in turn meant that short interest rates only stayed on their floor for just over a year, and rose to 1% during 2010. So it all looks like a textbook New Keynesian policy, and close to the one recommended in Portes and Wren-Lewis: fiscal expansion helped get interest rates above their lower bound.
"That was then. More recently GDP has been falling, and interest rates have been cut to 0.5%. So is it time for a tight fiscal policy, or instead some additional deficit financed public investment? Ask the man on the escalator, the new Canadian Prime Minister. In the election Trudeau played a classic Keynesian card (Labour leadership please note). Both his two opponents criticised this deviation from a balanced budget policy. Trudeau won, so Keynes remains in Canada. While interest rates may not have yet hit their lower bound, it makes sense to borrow to invest when rates are low and when there is a significant risk rates could hit ‘zero’ (Osborne please note).
"Unlike governments in Europe and the US, Canada did not dash for austerity just as the recovery was beginning and while interest rates were still on their floor. They had a clear choice a week ago to allow a deficit to finance investment or go for a balanced budget, and they chose the more sensible fiscal policy. I think there are two lessons beyond Canada. First, right wing governments do not have to make major macroeconomic policy mistakes with fiscal policy. Second, voters do not always suffer from deficit fetishism."
http://mainlymacro.blogspot.ca/2015/10/keynes-never-left-canada-and-intends-to.html
LOL at the article saying we practiced austerity in the U.S., apparently this is what austerity looks like to a liberal. I guess when spending goes up every single year that is really hardcore austerity.
Keynesianism has worked so well all over the world that almost a decade out we cant even increase rates a quarter of a point, or we run the risk of sending the world economy into a violent recession, and thats what liberals call a success. I would hate to see how bad its got to get before one of them actually admits its been a failure.
Keynesianism has worked so well all over the world that almost a decade out we cant even increase rates a quarter of a point, or we run the risk of sending the world economy into a violent recession, and thats what liberals call a success. I would hate to see how bad its got to get before one of them actually admits its been a failure.
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LOL at the article saying we practiced austerity in the U.S., apparently this is what austerity looks like to a liberal. I guess when spending goes up every single year that is really hardcore austerity.
Keynesianism has worked so well all over the world that almost a decade out we cant even increase rates a quarter of a point, or we run the risk of sending the world economy into a violent recession, and thats what liberals call a success. I would hate to see how bad its got to get before one of them actually admits its been a failure.
LOL at you, you're missing some considerations.
http://www.usgovernmentspending.com/total_spending_chart
That's just a start.
Backing up for a second, you don't believe Obama has raised taxes? You don't believe GDP is presently below trend? You don't believe the sequester occurred? How about the deficit, has that fallen in your opinion?
