In the whole crazy, unnecessary debate over raising the debt-ceiling law, politicians, reporters, and commentators all spoke as if there were only two ways to reduce the government deficits. Nearly everyone took it as an article of "serious thinking" that to reduce a deficit requires either reducing spending or increasing taxes. But rather than being … Continue reading There Is An Efffective Way to Reduce Government Deficit: Employment. But They Won’t Take That Route.
The top end of the income distribution has recovered from any ill effects of the Great Recession, but the average worker has not. CEO's in particular saw their compensation increase 27% in 2010, while the workers at the corporations these CEO's "lead" has barely moved. Wonkroom notes: Households across the country are still feeling the … Continue reading CEO’s Pay Grows, Average Worker Pay Stagnates
From Alan Blinder via Brad deLong (bold emphasis mine): Alan Blinder: The Economic Silly Season Is Upon Us: 'Debt ceilings' and 'job killing' spending are two dumb ideas. Obsessing on the deficit while unemployment is at 9% is another: Our country seems mired deeply in the silly season.... The silliness comes in at least four … Continue reading Obsessing on Deficit When Unemployment Is 9% Is Silly
More from Alan Simpson, the man who wants to cut your social security: Simpson said that while every interest group that testified before his committee agreed that the mounting federal debt is a national tragedy, they would then talk about why government funding to their area of interest shouldn't be touched. "We had the greatest … Continue reading Alan Simpson – FAIL again