Setting spending straight: Now, we're getting somewhere
As you might have noticed, I'm quite confounded by the arguments for stimulus, especially monetary stimulus.
In discussing the issue on Less Wrong, I've argued that once you expand out what the economics jargon, it's not even clear that stimulus arguments even claim to be accomplishing something good. And that such schemes are justified with reasoning that would just as wellprove it beneficial to do clearly absurd things, showing a misuse of the term "the economy".
This suggested to me a serious case of lost purpose, where one's policy justifications have become completely disconnected from the original reasoning.
Well, now I've found someone willing to engage these issues: John Salvatier of Good Morning, Economics. He's not Scott Sumner, but he does advocate the same things, and knows his way around the topic.
If you're interested, take a look at our ongoing exchange on the basis for stimulus (and this shorter thread).
We should do an edited summary if/when we reach a satisfactory conclusion (an agreement to disagree on some empirical matter or agreement).
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