Tuesday, February 9, 2010

KKK Economics; are they OK?

I occasionally read columns by Paul Krugman for comic relief, and because he’s the banner carrier for the local newspaper’s economic views.  He’s even more amusing in his occasional TV appearances; sort of a mad little Napoleon type.

For some time I’ve been concerned that the columnist has gone certifiably delusional from his frequent excursions on the axis of imaginary economics.  As you know, he’s a Nobel Laureate in the subject, but given recent history, that doesn’t prove much of anything, other than instilling unwarranted confidence in oneself.

You may have read about “Bush Derangement Syndrome” or BDS in recent years.  I’m concerned that Krugman could be suffering from ODS, or Obama Delusional Syndrome.

I first observed his troubling behavior sometime last year.  He wrote a column advocating a massive stimulus package, in which he said something to this effect: “we might as well use the money to do this, or otherwise it’s just going to lay there and go to waste.”

I was stunned; does this paradigm of pedagogic punditry really think the US Government has billions and trillions of cash just laying around instead of being put to use?  I don’t know what kind of meds Princeton Economic Professors/NY Times Columnists take, but he needs to change his.

I think of the Professor as the Grand Krugle (GK) of the Krugman Koolaid Keggers, or KKK.  His column in yesterday’s paper was a pticher full of red nectar for his students and editors.  In it, he seems to be developing the Obama/Krugman theory of deficit economics, abbreviated as OK economics.

In this theory, deficits aren’t really worth worrying about, and the dangers being advertised are simply the opinions of scare-mongers who don’t agree with the fabled and time-tested “many economists.”

Even though this year’s budget is up by more than 30%, I believe, the GK claims that the deficits aren’t a result of spending growth, but of declines in tax receipts and required federal bailouts of financial institutions.  Required?; that’s the first time I’ve heard that!  And how dare we to expect the feds to live within their means by adjusting spending downward when revenues don’t live up to their low expectations?

Instead, as he has for some time, the GK argues that deficits should be even bigger, and that there should be another massive stimulus package.

Isn’t that what credit cards are for?  To give you money when you have none?  To allow you to spend without restraint?

I know someone who has children attending Princeton, where Krugman “teaches.”  I hope they aren’t taking any classes from him, because if he teaches the OK theory at a personal level, it will ensure lifelong personal financial problems.

I can just hear him telling students that OK economics obligates them to max out their credit cards for the good of the nation, and to not worry about making the payments.  And not to listen to their parents’ advice, because they’re just trying to scare them with unfounded opinions.

“And if you don’t think you’re doing enough to create jobs, sign up for some more credit cards and max them out too,” he probably tells them.

“But Professor, how are we supposed to pay off the credit card debt?”

“You’ll have to figure that out on your own; if you can’t, you aren’t worthy of Princeton and me.  And besides, I’ve got to go polish my Nobel Prize and spew out some more red drivel for the gray lady.”

Is it any wonder why we have millions of families drowning themselves in personal debt, and their benefactors heaping pouring oceans of debt on top of that?

That may sound OK to some, but it’s not ok with me.

No comments:

Post a Comment