| Peter Klein |
Luigi Zingales offers Straight Talk on Keynes (via Casey Mulligan):
Keynesianism has conquered the hearts and minds of politicians and ordinary people alike because it provides a theoretical justification for irresponsible behavior. Medical science has established that one or two glasses of wine per day are good for your long-term health, but no doctor would recommend a recovering alcoholic to follow this prescription. Unfortunately, Keynesian economists do exactly this. They tell politicians, who are addicted to spending our money, that government expenditures are good. And they tell consumers, who are affected by severe spending problems, that consuming is good, while saving is bad. In medicine, such behaviour would get you expelled from the medical profession; in economics, it gives you a job in Washington.
Three comments: First, the “hangover” metaphor, while not exactly accurate, is an effective way to communicate the basics of the…
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Utopia, you are standing in it! 
Sep 30, 2014 @ 11:29:08
classical economists are like the bourbons, They never learn. The only thing classical economics ever gave the world was Hitler and even then Hayek recanted on his stupid policies.
EVERY country that adopted Classical economics during the GFC experienced a Depression ( A drop of 10% in GDP) but did even that give any of them pause for thought. No.
They dislike evidence. Ideology is their concern. In this way they are very much like the Communists from the 1950s!
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Sep 30, 2014 @ 12:00:01
you are getting a bit excited
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Sep 30, 2014 @ 13:29:27
not excited just sad. I remember the old style commos and classical economists are very similar.
Neither of them learn because they do not want to. Their whole reason for living is founded on a myth.
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