Money flows out to the folks on Wall Street who bankrupted their firms, to schoolteachers who’ve failed to teach their students, to government workers who feel that simply showing up to work is a heroic achievement, to executives and union workers in America’s oldest and least competitive industries. If times are tough and money is tight, that means almost nothing is left over for productive investment. What would have been a short recession will turn into a long depression and decades of higher taxes and slow growth to pay for all of the cash ladled out.
Tuesday, March 17, 2009
Best comment on the current economic crisis
I've been reading a lot about the economic crisis, including a lot from economists who are universally pessimistic about the Administration's response. I've avoided commenting for want of something original to say. But this blog post summarises the situation so well I have to repost it here: