Any higher education students out there who think the whole Washington debate about raising the debt ceiling is just some hypothetical exercise that doesn't affect you, think again. If the debt ceiling isn't raised, then we don't know what the government will pay and what it won't pay in August and September. And Treasury isn't … Continue reading Students Have A Stake in The Debt-Ceiling Crisis
Day: July 30, 2011
But What About National Debt-to-GDP Ratio? Not a Problem, Really
In the comments to my post on the extraordinarily weak 2nd qtr 2011 GDP numbers a reader asks for my thoughts about debt-to-GDP ratio and "how can we afford more stimulus"? Since my response will be a little long and others might be interested, I'll post it here. Reader AZLeader asks: Here are some other GDP … Continue reading But What About National Debt-to-GDP Ratio? Not a Problem, Really
Government Budget Cutting SLOWS the Economy – That’s Why It’s Called Contractionary Fiscal Policy
America's attention has been focused lately on the unnecessary debate in Congress over the debt-ceiling law. Part of the motivation (at least the vocalized motivation) for cutting the deficit and trying to limit the national debt, according to both Republicans and the President, is that supposedly government deficits are holding back the economy. They assert … Continue reading Government Budget Cutting SLOWS the Economy – That’s Why It’s Called Contractionary Fiscal Policy
The Great Recession Was Even Worse Than Thought
In yesterday's release of the 2nd quarter 2011 GDP numbers for the U.S., the BEA also revised some past numbers. This is not an unusual event. It's routine. But the news and revisions this year were disturbing and sobering. First, a little about how GDP numbers are reported. In this day and age of instant … Continue reading The Great Recession Was Even Worse Than Thought
EconProph 