« Upside Of A Double Dip Is A Down Dollar | Blog Home Page | Of Course We Have A Bubble »
Paul Krugman explains why screwing savers is good policy:
I have seen the past, and it worked.
So, we managed to grow while holding real rates negative in the 50s when the rest of the world was rebuilding from WWII, we had little competition in manufacturing and capital mobility was limited. How could it possibly go wrong now? Besides, it serves'em right for not spending every nickel to maintain aggregate demand.
Read the entire entry:
Financial Repression
Read Full Article »