Category Archives: Stimulus Impact

More Debates about the Stimulus Debate

In a blog post yesterday Paul Krugman repeats a claim made by Christina Romer (in footnote 18 of a speech at Hamilton College last November) which he says answers “in devastating fashion” the empirical paper by John Cogan and me which shows that … Continue reading

Posted in Stimulus Impact

Debating Stimulus and Harvard and Stanford

Larry Summers and I debated “Did Fiscal Stimulus Help the Economy?” at Harvard this week. There was no video streaming or recording, and I will not try to summarize the back and forth (which the overflow crowd seemed to enjoy), … Continue reading

Posted in Stimulus Impact

Not More of the Same Model Simulations!

Simulations of Mark Zandi’s economic model, which are reported in the press to show that a new temporary stimulus package will create 1.9 million jobs, are being touted as evidence that it will work. This is the same type of model simulation that predicted … Continue reading

Posted in Stimulus Impact

Two Congressional Hearings on the Second Stimulus and Alternatives

Congress was busy working on fiscal policy today. This morning, over on the House side, it held its first hearing on President Obama’s fiscal stimulus proposal. As one of the witnesses, I argued that the fiscal policy responses thus far to the unemployment … Continue reading

Posted in Stimulus Impact

Don’t Stay the Course

Here is my New York Times oped Not More of the Same on why it is urgent to change the course of economic policy. My critique of Keynesian countercyclical policy, which is summarized in the NYT article, has been challenged by Fred Bergsten of the Peterson … Continue reading

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No Near-Consensus Among Economists for Another Stimulus Package

Sunday’s Weekend Edition on NPR gave listeners a chance to hear different economic views on how to reduce the high unemployment rate. Joe Stiglitz represented the view that we need another deficit-financed stimulus package with more spending now and tax increases later. … Continue reading

Posted in Stimulus Impact

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