Austerity ( Fiscal Consolidation, As Some Ironic Jerks Would Say ) In A Depressed Economy Is Nothing But Class Warfare

Paul Krugman’s The Story of Our Time:

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Let’s start with what may be the most crucial thing to understand: the economy is not like an individual family.

Families earn what they can, and spend as much as they think prudent; spending and earning opportunities are two different things. In the economy as a whole, however, income and spending are interdependent: my spending is your income, and your spending is my income. If both of us slash spending at the same time, both of our incomes will fall too.


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… And just about everyone in the policy elite takes cues from a wealthy minority that isn’t actually feeling much pain.