Why Government Stimulus Doesn’t Work

By: Frederick (Diary)  |  January 27th at 10:28 PM  | 

The incoming Presidential Administration and the new Congress appear set to spend hundreds of billions of dollars on new government programs, physical infrastructure and “relief” for those affected by the recent economic downturn.  They plan to do this through deficit spending, requiring them to sell bonds and, perhaps eventually, raise taxes.  The underlying concept is the Keyensian-based idea that if government spends enough money it | Read More »