Thread: Government Spending? Waste not, want not? YouCut program...

Originally Posted by Consultant

based on what theory of economics? Please cite as accurately as possible, please. You made a statement and I'd like to hold you to a burden of proof.

The best way out of a recession is for the government to spend.

Try to avoid posting wiki articles. I want it explained in your own words.

Keynesian economics. Specific enough for you?

Originally Posted by Consultant

And where, prey-tell did the magical government mothership get this newly injected capital? Ahh, right...they took it from us and the businesses we own and the investments we make and the phone bills we pay and the mortgages we pay and the goods we purchase. Government produces nothing. They absorb from the citizens and spend what they want to on themselves, then "stimulate" us with scraps.

Fuck the government...

Yeah, the government is just a band of robbers which does absolutely nothing! They rob from the rich and eat the money, or something. I don't know, I haven't kept up on the latest "the gubmint is ebil" talking points. Look, no one is saying the government is perfect or that there aren't massive inefficiencies within it, but the idea that the government does nothing is ignorant at best. Who do you think was a major player in developing the internet that we are talking on? Do you want all roads to be privately-owned toll roads?

Originally Posted by Consultant

I'm more of a Milton Friedman kind of guy...and Keynes arguments for countercyclical policy regarding recession are flawed because of the inherent lag in the affect of these policies. Excellent name dropping though. You almost sound like a college sophomore who just finished MacroEcon 202.

You complain about me "name dropping," even after you ask me to cite economic theory, yet you do the same thing? Cute and hypocritical, but not unexpected coming from you.

Originally Posted by Consultant

As for the roll of government, their roll is to do what the private sector cannot do with a better ROI...i.e. currency, public works projects, defense and police along with a few other basic services.

The level of government involvement is all based on your philosophy of how the government should operate. Not gonna get into a big argument about that here.

Ask any economist "what should be done to get out of a recession" and 95% will say "spend".....

Rico, if a business needs to make more revenue, yet they are broke, what do they do in order to expand, therefore bring in more revenue? They borrow and or charge more for services(issue more debt/tax), with the intention that the new revenue that they realize will cover the costs of borrowing as well as add a surplus of revenue. Basically what the govt needs to do in order to get the economy out of the recession....... Spend more to get more people working thus more money into the pockets of consumers, thus expanding the tax base and so on.....



Con, I do find it funny that you challenged fov on his economic philosophy, he gave you a name of whose philosophy he abides by(per your request) then you call him a immature name dropper. Why? Because you couldn't give him a decent argument back? Other than to say, "well, I don't Keynes, I am more into Friedman".... Which is kinda sophomoric in it's own right. How was he wrong to mention Keynes in answer to your query?

If your problem is with the Keynesian approach, well shouldn't that be debated in another thread?

Originally Posted by Kraker Jak

anyone?

Deficit spending.

Originally Posted by Kraker Jak

Deficit spending? How do you get water from a dry well?

Borrow.