Author Archives: John Taylor
What Does Anti-Keynesian Mean?
In the latest edition of his excellent series of podcast interviews, Russ Roberts asked me toward the end what I thought about being characterized as anti-Keynesian as I was in this Economist post The rise of the anti-Keynesians. In a … Continue reading
Posted in Fiscal Policy and Reforms
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A Way Out Of the Budget Impasse
In a column posted today on Bloomberg Views I suggested a way to resolve the budget impasse. It starts with the fact that about $6 trillion in deficit reduction is needed over 10 years to get to balanced budget.The proposal … Continue reading
Posted in Budget & Debt
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A Tale of Two Labor Markets: Today and ’83-’84
Today’s jobs report provides yet more evidence that this is a recovery in name only. The 9.2 percent unemployment rate is certainly a serious problem, but you can understand the problem a little better by looking at the percentage of … Continue reading
Posted in Slow Recovery
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Time To Renew the Principles of 1776
What’s the best way forward for American economic policy? On Independence Day it’s natural to look to the country’s founding principles—political freedom and economic freedom—for an answer. 1776 was not only the year when Thomas Jefferson wrote the Declaration of … Continue reading
Posted in Regulatory Policy
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No, A Bigger Stimulus Would Not Have Worked Either
Paul Krugman writes (citing Noah Smith) that he agrees with the empirical findings in my critique of the revival of Keynesian activism in the 2000s (the stimulus packages of 2001, 2008 and 2009). In particular, he writes that “it’s far … Continue reading
Posted in Stimulus Impact
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How to Resolve the Stimulus Debate: Use Data Not the Same Models Over Again
Predictions made in early 2009 about whether the stimulus package would work varied widely because the models used to make the predictions varied widely. Models used by Christy Romer and Jared Bernstein predicted large effects of the 2009 stimulus (ARRA), … Continue reading
Posted in Stimulus Impact
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Unchanged Debt Explosion
CBO’s Long-Term Budget Outlook released this week is essentially the same as last year’s: without a change in policy the debt will explode to over 900 percent of GDP. One difference is that CBO decided not to print out the … Continue reading
Posted in Budget & Debt
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The Two Year Anniversary of the Non-Recovery
This month marks the two-year anniversary of the end of recession and start of recovery. But it’s a recovery in name only, so weak as to be nonexistent. And it has been weak from the start. Real GDP growth has … Continue reading
Posted in Slow Recovery
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Why Avoiding Bailouts is Good Policy
Asgeir Jonsson’s interesting and perceptive article in today’s Wall Street Journal provides a clear lesson for students and policymakers alike about the harm that comes from bailouts and the good that comes from avoiding them. If a government recognizes the … Continue reading
Posted in Financial Crisis
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Why Not Go For 5% Growth?
Some skeptics have complained about the 5% national economic growth target put forth by former Minnesota Governor Tim Pawlenty in his speech this week about his economic plan. They say it can’t be done. But I think the goal makes … Continue reading
Posted in Regulatory Policy
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Economics One 