After I put up my post comparing private-sector jobs under Obama and Bush, a number of people asked me whether I believe that presidents have a large effect on economic performance. My answer is no...To expand on my own views, in normal times the economy’s macroeconomic performance mainly depends on monetary policy...-RW
Wednesday, December 30, 2015
Krugman Gets Something Right
There is a lot of nonsense around a key point he makes in the post, Presidents and the Economy, and I am ignoring it, but Krugie is correct when he writes:
Subscribe to:
Post Comments (Atom)
"...in normal times the economy’s macroeconomic performance mainly depends on monetary policy" Amazing. Not work, savings, capital, innovation, investments, the weather, no -- it all rests on monkeying with the medium of exchanges.
ReplyDeleteIt depends upon whether you are looking at it from a "what is" or "what should be" perspective. From a "what is" perspective, given Federal Reserve manipulations of interest rates, macroeconomic performance does depend on monetary policy.
Delete