An MMT site bringing you dogma-free economics without the pleadings of self interest
Yes, the administraton, some FOMC members,and congress are all either ignorant, are cowards, or both. The Democrats are doing just about all they can economically to significantly threaten their majorites. The only thing worse politically than spending 1.2 trillion or so on sufficient stimulus is to spend half that much and let voters see Wall Street earning obscene profits again while unemployment continues to rise. If this weren't so tragic it'd definitely be funny.
I should also point out that even though there are some wiser FOMC members, the Fed hasn't done nearly enough with respect to monetary policy either. They could've targeted nominal GDP in '06, "targeting the forecast" and our losses in the mortgage market and overall economic growth would have been much smaller. In fact, quick math suggests we wouldn't have had a recession at all.
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