Friday, January 23, 2009

THE MYTH OF GOVERNMENT SPENDING MULTIPLIER

Robert Barro makes (link) a strong case on why Keynesian spending multiplier is a theoretical illusion resulted from the fact that government purchases can be hardly separated from real fluctuations.
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2 comments:

  1. Anonymous10:09 AM

    I managed to find your website and I read that article. That was the most idiotic piece of crap I've ever read.

    ReplyDelete
  2. RFC8:46 PM

    Hmmmm... Dr. Barro's opinion versus anonymous internet poster's opinion.

    That is a hard one.

    ReplyDelete