Thursday, November 28, 2013

For My Krugman File

Paul Krugman writes:
Now, as I’ve tried to say on a number of occasions, mistakes happen. If you, as an economist, try to weigh in on events as they happen, you will get things wrong, and sometimes you may get them wrong in a big way. The crucial question is what you do next. Do you engage in self-analysis, trying to figure out what in your framework led you astray? Or do you double down on your preconceptions, refusing to admit that you may have gone up the wrong path (and, if you’re in an institutional position, try to shut out people with differing views)?
This will be fun to pull out when price inflation soars well above 2%, which is where it is at now according to Krugman's favorite price inflation indicator, the MIT Billion Prices Index. Krugman, of course, thinks there is no price inflation threat and is calling for even more Fed money printing:
[T]here are very high costs to premature policy tightening, which can raise unemployment in the long as well as the short run. Since we don’t really know where full employment is — and since there’s a case for a higher inflation target anyway — this adds up to a strong argument for waiting to see overwhelmingly clear evidence of an overheated economy before beginning any kind of policy exit.
So Janet Yellen should keep her petal peddle pedal to the medal mettle metal for a long time.
Will he admit he was wrong? Will he engage in self-analysis? Will he read Rothbard?


  1. "Will he admit he was wrong?"

    Hell no! The weasly little shmuckolovich (which I define as 'one who fornicates with goats on the sabbath') will point to some metric that we all knew was obviously faked, and suddenly "discover he'd been mislead".

    "Will he engage in self-analysis?"

    Not publicly.

    "Will he read Rothbard?"

    Never, and I hope never. The cognitive dissonance it would generate would result in his head imploding into a black hole, sucking the Earth and entire solar system with it.

  2. Cut the guy a break. It's hard to admit you're a complete and utter fuckup.

    [Not to mention what a hoot it is to watch this clown...]

  3. "Will he admit he was wrong? Will he engage in self-analysis? Will he read Rothbard?" Don't get your hopes up.

  4. He's not wrong. Ron Paul, Peter Schiff have been wrong for 5 years. Have they admitted it? When gold is $500 again and "price inflation" (LOL) is hovering at or around 2% in 2018, will they finally man up? Doubt it.

    1. You just gotta stop smoking that stuff Wolf, it's fuckin' you up, and making you stupid.

      [or is it just a natural gift?]

  5. 5 years lol So if you're a five year old you may believe there is no inflation