18th October 2011
On the idea that deficit-cutting can boost growth: "The truth of the matter is that most of the euro zone policy makers and their erstwhile economic advisors are practicing a faith based economics. They believe in the moral purity of balanced fiscal budgets." Multiplier Effect
Carl Emmerson, deputy director of the IFS on UK Inflation reaching 5.2%: "It's not a huge number in the light of over £100bn worth of borrowing. It's unlikely to make or break the government's deficit reduction plan but it's not an insignificant sum." The Guardian
In a column co-authored by Tommaso Monacelli, Vincenzo Quadrini and Antonella Trigari, they explain why the credit crunch may be behind the high unemployment rate in the US. Vox EU
From an Interview with Bill Mitchell: "Budget deficits, independent of any monetary operations, drive interest rates down, not up. This is the complete opposite of what orthodox economists claim is the case, and it's confirmed by the present combination of record low interest rates and very large budget deficits." HIR
"Over the past three decades, hundreds of millions of new workers have entered the global economy, bringing tremendous growth in income levels, opportunities, and the size of the global economy. But these new workers have also brought more employment competition, which has had profound distributional effects." Project-Syndicate
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