Wow they (US) must be freaking: fiscal policy is back

It looks like we all just might be fiscal Keynesians again.   Bernake and Bush have come out tandem in support of a whopping 150 billion dollar fiscal stimulus package.  I sure did miss that call yesterday. Although one wonders just what might make it into that package.  They have an aversion to anything that would entail longterm fiscal commitments.  That leaves direct limited-time transfers  and any infrastructure projects that can be ramped up relatively quickly and will take a relatively short-time to complete.  It will be interesting to see what is in the plan.

A similar size plan for Canada would entail roughly 15 billion dollars.  Lets just hope Harper sticks to his central policy paradigm: follow the leader.

It is kind of fun watching neoliberals cry for the state to rescue the markets.  So much for that theory.

Advertisements

One thought on “Wow they (US) must be freaking: fiscal policy is back

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s