Friday, December 7, 2012

Paul Krugman — The Forgotten Millions


Finally, we get to the real issue — unemployment. Thank goodness Paul Krugman is using his bully pulpit to name it. This is the real crisis, not the phony "affordability" excuse.

As Krugman points out, even if you think that government has to borrow to finance itself, which it doesn't because it prints its own money, interest rates are at historical lows and the US is not having any difficulty selling its Treasury securities.

The New York Times | Opinion
The Forgotten Millions
Paul Krugman | Professor of Economics, Princeton University

2 comments:

y said...

Funny comment by Dan Kervick over there

"Sword of Dumbocles"

googleheim said...

Hoarding is also another issue

Krugman used to talk about China hoarding our treasuries

but not lately

OPEC
Japan
UK
EU
Mercosur
China
BRICs

They all earn USD and have US treasuries accounts.

now, why don't they spend some of it