• news
  • TUESDAY FEBRUARY 17 2004 7:42 PM

The Effects of the US Budget Deficits (Again)

Updating a previous story on Who Believes What About the US Budget?: Berkeley economist Brad DeLong continues to wonder who's making the decisions on current US fiscal policy.

In short: is Bush receiving good budgetary advice and ignoring it? Or is he receiving bad advice and believing it?

One option implies President Bush is so stupid as to ignore the experts hired to be experts on matters he is not expert in. The other suggests people with professional expertise are compromising their academic standing to please political masters who have a clear pre-designed agenda. DeLong would like to believe that well-respected academics-turned-policy-advisers like
Glenn Hubbard and Greg Mankiw are providing sober advice and resisting the urge to pander to political pressure. But DeLong is learning to be disappointed, and laments that then-CEA chief Hubbard was willing to give shonky advice about the effect of deficits on interest rates. Hubbard worked on the presumption that the deficit was only going to last for one year before budget balance would miraculously be restored -- meaning the increase in interest rates would be quite small.

In Ron Suskind's The Price of Loyalty, Hubbard never openly clarified in his comments to high level staff meetings that the upward pressure on interest rates would be much higher if the deficits continued. In other words, Bush is clearly receiving tainted advice.

It also seems current CEA chair Mankiw is succumbing to the temptation to please the regime rather than advise it dispassionately, by determining when recessions begin and end.

(This is not to say Delong believes Bush's policy would be more coherent if he were better advised. Having a blind man in a room full of deaf people doesn't augur well for sensible policy making.)

 

Previous

PAGE: 

1 | 2 | 3

Next

Comments
Mullen

Mullen

San Diego, CA
April 2003

FEB 17, 2004 09:23 PM

Come'on! Isn't there something in your country that you can bitch about or do you just like to complain about the USA since the Dingo's are not eatting your babies anymore?

TheFuckOffKid

TheFuckOffKid

NEWSWIRE

Australia

FEB 17, 2004 09:32 PM

Having a bad day, Mullen?

Max16Characters

Max16Characters

Korea, Republic Of
March 2003

FEB 17, 2004 09:36 PM

Mullen said:
Come'on! Isn't there something in your country that you can bitch about or do you just like to complain about the USA since the Dingo's are not eatting your babies anymore?



Well there were riots in Sydney the other day.

Sonntag

Sonntag

Atlanta, GA
August 2003

FEB 17, 2004 09:39 PM

We're a big cog in the global economy. There's cause for concern internationally.

TheFuckOffKid

TheFuckOffKid

NEWSWIRE

Australia

FEB 17, 2004 09:45 PM

OK. As it happens, Legionnaire and I were just journalling about bringing a more international focus to the news (politics) sections.

What I said to him was that I think the US elections (#1 topical topic) and the US budget are examples of things that are US-domestic focussed issues, but that have international significance. Trust me, what happens to your interest rates matters. BUT we both agreed that there needed to be a broader focus in the stories than just whether Kerry fucked an imaginary intern who wasn't working for him.

I submitted an article a few days back about Iraq and the issues with other Arab countries, that never got up, and L thinks it went missing.

I also thought about Australian stories to do with the just-signed FTA with the US, and the Sydney riots (which are a few 'burbs away from me), and the fact that our PM is now, finally, facing pressure on the WMD questions that have been aimed at Bush and Blair already. I haven't done any thus far, and kind of wish I had, but I felt like I should try to find and international angle of some sort to make them interesting. Maybe I shouldn't worry about that so much.

But this story, the one above, is like the WMD issue. Is the Bush administration taking a pre-set and hardline view about what it plans to do, and fudging the evidence accordingly? This, howver much it may seem boring, is a big fucking issue, and the evidence is not pleasant for those of us who believe that taking independent expert advice seriously is an important part of the political process.

reprobate

reprobate

New Orleans, LA
December 2002

FEB 17, 2004 09:53 PM

Mullen said:
Come'on! Isn't there something in your country that you can bitch about or do you just like to complain about the USA since the Dingo's are not eatting your babies anymore?



Yeah, them furrners should keep their furrn mouths sut. 'Specially if they, you know, use facts and stuff.

Mullen

Mullen

San Diego, CA
April 2003

FEB 17, 2004 10:02 PM

TheFuckOffKid said:
Having a bad day, Mullen?



Because everything you post (Well NOT EVERYTHING) is either anti-American or Anti-Bush and I'm just burnt out on it. I really don't care what non-US or non-voting Americans thinks about Bush and America in general.

Call me the Ugly American, but with all this criticism of Bush and America just make me really not give a shit what some guy in England, France or Australia thinks. In fact, I wish this site had the person filtering ability that Slashdot.org has so I just filter out your stories and you.

Nothing personal, but your just so anti-American, I don't care what you think anymore.

Sonntag

Sonntag

Atlanta, GA
August 2003

FEB 17, 2004 10:15 PM

Mullen said:

TheFuckOffKid said:
Having a bad day, Mullen?



Because everything you post (Well NOT EVERYTHING) is either anti-American or Anti-Bush and I'm just burnt out on it. I really don't care what non-US or non-voting Americans thinks about Bush and America in general.

Call me the Ugly American, but with all this criticism of Bush and America just make me really not give a shit what some guy in England, France or Australia thinks. In fact, I wish this site had the person filtering ability that Slashdot.org has so I just filter out your stories and you.

Nothing personal, but your just so anti-American, I don't care what you think anymore.



Mullen doesn't like free speech, you see. He needs censors, erm... "filters," otherwise he feels a little threatened.

Hey, the American education system failed me too. Don't feel bad that the Ozzie is better educated than us, Mullen, we can learn from him.

Mullen

Mullen

San Diego, CA
April 2003

FEB 17, 2004 10:22 PM

jakob_sweven said:

Mullen said:

TheFuckOffKid said:
Having a bad day, Mullen?



Because everything you post (Well NOT EVERYTHING) is either anti-American or Anti-Bush and I'm just burnt out on it. I really don't care what non-US or non-voting Americans thinks about Bush and America in general.

Call me the Ugly American, but with all this criticism of Bush and America just make me really not give a shit what some guy in England, France or Australia thinks. In fact, I wish this site had the person filtering ability that Slashdot.org has so I just filter out your stories and you.

Nothing personal, but your just so anti-American, I don't care what you think anymore.



Mullen doesn't like free speech, you see. He needs censors, erm... "filters," otherwise he feels a little threatened.

Hey, the American education system failed me too. Don't feel bad that the Ozzie is better educated than us, Mullen, we can learn from him.



Yep, you were educated in the US. Someone forgot to teach you that only the Government can censor. If I don't want to listen to someone and I choose to ignore them, it's call Freedom of Choice. I'm not stopping him from speaking, I am just choosing to ignore him. Just because you speak, does not mean I have to listen.

Sonntag

Sonntag

Atlanta, GA
August 2003

FEB 17, 2004 10:32 PM

Mullen said:

jakob_sweven said:

Mullen said:

TheFuckOffKid said:
Having a bad day, Mullen?



Because everything you post (Well NOT EVERYTHING) is either anti-American or Anti-Bush and I'm just burnt out on it. I really don't care what non-US or non-voting Americans thinks about Bush and America in general.

Call me the Ugly American, but with all this criticism of Bush and America just make me really not give a shit what some guy in England, France or Australia thinks. In fact, I wish this site had the person filtering ability that Slashdot.org has so I just filter out your stories and you.

Nothing personal, but your just so anti-American, I don't care what you think anymore.



Mullen doesn't like free speech, you see. He needs censors, erm... "filters," otherwise he feels a little threatened.

Hey, the American education system failed me too. Don't feel bad that the Ozzie is better educated than us, Mullen, we can learn from him.



Yep, you were educated in the US. Someone forgot to teach you that only the Government can censor. If I don't want to listen to someone and I choose to ignore them, it's call Freedom of Choice. I'm not stopping him from speaking, I am just choosing to ignore him. Just because you speak, does not mean I have to listen.



Just like moveon.org's Superbowl ad was censored? And Bush's tax payer funded "I helped save Medicare" election ad was not? You're mistaken, censorship does not necessarily require the agency of government. Truly, you read no more than Tom Clancy novels beyond your assigned homework.

As for wanting to censor individuals on boards like this, that would break the thread and make it a tad awkard to follow. "I don't know what this fellow said but all my wingnut buddies seem all in a huff so I'll stir up bluster and balls too!"

Please, choose to ignore me. Go on. I don't mind.


[Edited on Feb 17, 2004 by jakob_sweven]

reprobate

reprobate

New Orleans, LA
December 2002

FEB 17, 2004 10:40 PM

Mullen said:

jakob_sweven said:

Mullen said:
TheFuckOffKid said:
Having a bad day, Mullen?



Because everything you post (Well NOT EVERYTHING) is either anti-American or Anti-Bush and I'm just burnt out on it. I really don't care what non-US or non-voting Americans thinks about Bush and America in general.

Call me the Ugly American, but with all this criticism of Bush and America just make me really not give a shit what some guy in England, France or Australia thinks. In fact, I wish this site had the person filtering ability that Slashdot.org has so I just filter out your stories and you.

Nothing personal, but your just so anti-American, I don't care what you think anymore.



Mullen doesn't like free speech, you see. He needs censors, erm... "filters," otherwise he feels a little threatened.

Hey, the American education system failed me too. Don't feel bad that the Ozzie is better educated than us, Mullen, we can learn from him.



Yep, you were educated in the US. Someone forgot to teach you that only the Government can censor.



I'm afraid you're mistaken.

If I don't want to listen to someone and I choose to ignore them, it's call Freedom of Choice. I'm not stopping him from speaking, I am just choosing to ignore him. Just because you speak, does not mean I have to listen.



But youre not ignoring him, youre heckling him and derailing the conversation, turning it into the acceptable limits of speech and your personal ideological preffernences. This is called the hecklers veto and it the antithesis of reasoned discourse and the free marketplace of ideas.

If you actually want to ignore TFOK, youre going to have to actually shut up.

s5

s5

San Francisco, CA
OLD SKOOL

FEB 17, 2004 10:50 PM

Mullen said:
Because everything you post (Well NOT EVERYTHING) is either anti-American or Anti-Bush and I'm just burnt out on it. I really don't care what non-US or non-voting Americans thinks about Bush and America in general.



golly, i guess that makes the IMF "anti-american" too:

U.S. Budget Deficit Threatens World Economy, IMF Warns

reprobate

reprobate

New Orleans, LA
December 2002

FEB 17, 2004 11:12 PM

s5 said:

Mullen said:
Because everything you post (Well NOT EVERYTHING) is either anti-American or Anti-Bush and I'm just burnt out on it. I really don't care what non-US or non-voting Americans thinks about Bush and America in general.



golly, i guess that makes the IMF "anti-american" too:

U.S. Budget Deficit Threatens World Economy, IMF Warns



Yeah well, you married one of them, so you were suspect, anyway.

And you live in San Francisco so youre prolly half a fag to boot.

troglodyte

troglodyte

Victoria, BC
May 2003

FEB 17, 2004 11:47 PM

Mullen said:
Call me the Ugly American, but with all this criticism of Bush and America just make me really not give a shit what some guy in England, France or Australia thinks.



Yes, I'm in!

Sonntag

Sonntag

Atlanta, GA
August 2003

FEB 18, 2004 08:01 AM

So, the Euro will hit 1.30US$, what does this mean in terms of real growth in the U.S. economy? With a weakening US dollar, are the NYSE and NASDAQ really experiencing the stimulus team Bush say they are? Or is this a game of misdirection? Are US markets truly stagnant and the relative deflation in US currency artificially buoying stock share prices?

[Edited on Feb 18, 2004 by jakob_sweven]

Previous

PAGE: 

1 | 2 | 3

Next