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[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]Exactly, the fall in the stock market has everything to do with *their* nonsensical, crippling austerity measures; and nothing whatsoever do do with *our* nonsensical, crippling austerity measures.  Funny though that you can't understand that policy has anything to do with "poor economic #s here int he US."[/quote]

Jesus Christ, what the fuck are we (Europe/USA) supposed to do? Let our debt/GDP go up above 200% and run 10%/GDP deficits for the next decade? [/quote]

You seem to be completely ignorant of even the barest outlines of basic macroeconomics.  No, you don't do trillion dollar stimulus packages every year for the next decade.  You just need one large enough to make up for a shortfall in private demand.   Your side's basic argument is that a defibrillator doesn't work because you already held a 9 volt battery to the patient's chest and it didn't do anything.

And before you start blathering about how the government can't create jobs, I'd point you to a little known phenomenon called World War II.  Or do armaments magically get an exemption form the iron-clad law that stimulus never works?[/quote]

Does basic macroeconomics say countries whose debt/GDP ratio exceeds 100% should keep on spending? How big should the stimulus have been? $1 trillion? $1.5 trillion? $2 trillion? Japan seems to have been stuck in the mire for some while after its debt-induced binge fizzled, an actual case study which should give thoughtful people of all stripes some pause before recommending MOAR SPENDING or MOAR TAX CUTS.

The 1930s and 1970s disproved a number of tenets of macroeconomics, such as the gold standard being the best monetary system (damn New York liberals and international bankers) and the Phillips curve ... I suspect this decade, combined with the experience of Japan, will refine our knowledge of macroeconomics.

Mainstream liberals were calling for trillion dollar stimulus packages, which you and I know full well would've died a painful death in the Senate.

(As an aside, I don't care if eliminating the filibuster would allow President Palin to ram her program down America's throats, if she can get elected along with other Republicans, then let them have the freaking keys to the bus. Ditto if Obama can get re-elected.)

So the actual alternatives were, do nothing and see if America cares (hint, they don't. They want jobs. If a deficit this size were paired with 5% unemployment, no one would care.) Or, try a half-measure and see if that fixes things. [/quote]

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