And I disagree. While yes, recessions are cyclical, Keynesianism does not "make them worse than they are", it softens the severity of the spike. It did not happen as monetarists state; they predict in such a situation the economy enjoys low inflation and high stability. However, low inflation was slow in the coming while lead economic indicators were spiking and falling erratically. Furthermore, it was only "neat" if you consider high unemployment a desirable or acceptable outcome, which I do not.
Originally Posted by Marjane Satrapi
If I would have to build a system that is imperfect regardless of how you do it, I would rather create something that makes it possible for the financially weaker to cheat rather then letting the financially strong cheat.
Because allowing the financially weaker more financially breathing room will result in a reducement of crime; Less crimes with a RobinHood motive (I need to rob a bank because I can't pay my childs cancertreatment/college/...)
If I had to choose between 2 evils, I would go for the evil that 'helps' the lower classes of society (wich isn't evil in a way)
Allowing the financially strong to cheat will result in more money flooding towards tax havens and fiscal frauds.
Such a system will result in more crime by both ends of the financial spectrum.
Last edited by mmoc013aca8632; 2013-05-21 at 02:51 PM.
Except it's actually a problem with our legal system that eyewitness testimony is held to such high regard. I'm not sure why you would use it to validate your point.
Since the anti-public assistance monkeys happen to be anti-tax, never going to happen.
I repeat; that sort of budgeting is common, even in the private sector.
You don't see a problem with stationing two hundred thousand troops on the Mexican border?Man our borders with them and put a stop to illegal immigration.
Originally Posted by Marjane Satrapi
Originally Posted by Marjane Satrapi
Drug testing? Do I really need to bring up what happened when they tried that in FL? Multinational Corporations are the ones destroying the US from the bottom up, and it's by dodging taxes. Don't believe me? http://www.sanders.senate.gov/imo/me...estroyers3.pdf
Furthermore it's easier to cut form the bottom (which has almost no defense), than to get through any of the army of legal staff these corporations have. If the money these tax dodgers earned was actually taxed their would be no issue, and no cutting from the bottom.
Last edited by devark; 2013-05-21 at 03:07 PM. Reason: typo
There is no room to "disagree". Facts are facts. Monetarism works and HAS worked every time it's been implemented in the US, UK, Hong Kong, Chile and practically everywhere else. If you actually examine the recession in the UK you'll see that Thatcher is credited with her monetarist policies resulting in the UK being among the first nations worldwide to see economic growth again.
Keynesian economics utterly failed to handle the situation in 1970 which resulted in both rising unemployment AND inflation. It was here that monetarism stepped in and proved itself. When Carter appointed Volker (who ascribed to the Chicago School of thought) to the chair, monetarist policies proved themselves in bringing inflation to a much more stable level.
The unfortunate truth is that recessions are essential. Not merely cyclical... essential. One of the reasons the UK fell so damn hard after Thatcher enacted her policies was that there were thousands of factories which were wholly inefficient wastes of capital. These businesses were not meant to survive and were being kept on life support, keeping their capital tied up and wasted.
You may view unemployment spikes as undesirable, but it IS essential.
It was a failure in that Keynesian economics could not explain or remedy the problems facing the 70s that were a result of inflationary policies enacted in the years/decades prior. When inflation first hits, the effects are great and everyone is happy. As time goes on you get diminishing returns, however. Right up until the point where inflation is uncontrollable and unemployment starts rising in spite of ever more spending.
In 1979 Carter put Volker in the chair of the FED. He immediately enacted monetarist policies which brought price stability extremely quickly. This had the unfortunate effect of causing a Recession (or more accurately, finally permitting a deferred recession to come). A bad one. A result predicted by Friedman. When you artificially propel an economy further than it will bear, it simply has that much further to fall back to normalcy.
Last edited by Laize; 2013-05-21 at 03:30 PM.
I find irony in someone saying we need to pay down our debt and decrease our deficit while at the same time supporting government programs that "uphold the integrity of welfare" to make sure nobody is exploiting them, when such programs are known to be enormous money sinks, and the exploitation is a minuscule percentage of the overall usage of welfare benefits.
2014 Gamergate: "If you want games without hyper sexualized female characters and representation, then learn to code!"
2023: "What's with all these massively successful games with ugly (realistic) women? How could this have happened?!"