Regarding "Looking to the iPhone for economic stimulus" (Saturday Outlook), self-styled economist Paul Krugman puts forth for the umpteenth time his claim that government spending to stimulate economic activity is an unqualified good thing for America. What was novel in the article was Krugman's attempt to portray consumers who desire to own the latest Apple iPhone as "Keynesians" who "have implicitly accepted the case that the government should spend more, not less, in a depressed economy".
Intrigued, I read on, hoping beyond hope that Krugman was going to connect the dots between Rational Consumers and berserk government spending. I was disappointed. Krugman instead offered his usual cart-before-the-horse argument that the only reason the economy is tanking and tens of millions are out of work is because Somebody isn't spending enough. If that was true, every problem could not only be solved - but actually prevented - by government spending. Follow this argument to its logical conclusion, and profligate government spending should actually make things continuously better and better. It doesn't of course, but you've got to admire his willingness to consistently double down on the failed Socialist fiscal policies that have tanked our economy.
In Krugman's world, it makes no difference who is doing the spending: consumers willingly spending their own money or the Feds spending somebody else's. This begs the question of how many more consecutive columns Krugman can replay this same theme before readers tune him out entirely.
Pete Smith
Cypress
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Krugman's world
Regarding "Looking to the iPhone for economic stimulus" (Page B7, Saturday), Paul Krugman puts forth for the umpteenth time his claim that government spending to stimulate economic activity is an unqualified good thing for America. What was novel in the column was Krugman's attempt to portray consumers who desire to own the latest Apple iPhone as "Keynesians" who have implicitly accepted the case that the government should spend more, not less, in a depressed economy.
Intrigued, I read on, hoping beyond hope that Krugman was going to connect the dots between rational consumers and berserk government spending. Krugman instead offered his usual cart-before-the-horse argument that the only reason the economy is tanking and tens of millions are out of work is because somebody isn't spending enough. If that were true, every problem could not only be solved - but actually prevented - by government spending.
Follow this argument to its logical conclusion, and profligate government spending should actually make things continuously better and better. It doesn't of course, but you've got to admire his willingness to consistently double down on the failed socialist fiscal policies that have tanked our economy.
Pete Smith, Cypress
http://www.chron.com/default/article/Letters-FairTax-idea-iPhone-economics-3878772.php
-----------------------------------------------------------
Krugman's world
Regarding "Looking to the iPhone for economic stimulus" (Page B7, Saturday), Paul Krugman puts forth for the umpteenth time his claim that government spending to stimulate economic activity is an unqualified good thing for America. What was novel in the column was Krugman's attempt to portray consumers who desire to own the latest Apple iPhone as "Keynesians" who have implicitly accepted the case that the government should spend more, not less, in a depressed economy.
Intrigued, I read on, hoping beyond hope that Krugman was going to connect the dots between rational consumers and berserk government spending. Krugman instead offered his usual cart-before-the-horse argument that the only reason the economy is tanking and tens of millions are out of work is because somebody isn't spending enough. If that were true, every problem could not only be solved - but actually prevented - by government spending.
Follow this argument to its logical conclusion, and profligate government spending should actually make things continuously better and better. It doesn't of course, but you've got to admire his willingness to consistently double down on the failed socialist fiscal policies that have tanked our economy.
Pete Smith, Cypress
http://www.chron.com/default/article/Letters-FairTax-idea-iPhone-economics-3878772.php
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