New motto: "More Keynesian than a Washington Liberal"
The flushing sound of the global economy going down the toilet prompted me to spend some quality time today with the good folks on CNBC to get their take on the Panic of 2011. Two points the paragons of finance made over and over again about the US is the stupidity of cutting government spending during a weak economy and how they hoped that Helicopter Ben‘s decision to leave the monetary printing presses on auto-pilot (aka QE3) would be able to compensate for contractionary fiscal policy. It struck me as quite odd that in the US today, Wall Street bankers and the Governor of the Federal Reserve are channeling the spirit of John Maynard Keynes, while a president who comes from a supposed center left party seems haunted by the ghost of Herbert Hoover.
