On 12-Aug-11, at 8:10 AM, Michael Pollak wrote:
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> He not only lags Doug in LBO, now he lags Seth and Mike in LBO-talk:
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> http://krugman.blogs.nytimes.com/2011/08/11/franc-thoughts-on-long-run-fiscal-issues
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> Michael
A rebuttal from Bill Mitchell:
To challenge something you have to represent it correctly
Posted: 12 Aug 2011 01:16 AM PDT
I haven’t much time today. I note that the British Chancellor has made an emergency speech to the House of Commons last night (August 11, 2011) – Statement on the global economy. He claimed that the fiscal austerity had made the UK a “safe haven” for investors. The reason that demand for gilts is high at present is because the bond markets know the UK has no default risk. I also noted Paul Krugman’s wrote a blog in the New York Times yesterday (August 11, 2011) – Franc Thoughts on Long-Run Fiscal Issues – where he challenges Modern Monetary Theory (MMT) directly. To challenge something you have to represent it correctly.