Tuesday, February 10, 2009

Stiglitz on Bank Bailout

Why oh Why couldn't we have had Joseph Stiglitz running economic policy in the Obama administration?


One thing that strikes me about the interview was that Stiglitz reiterated his view that we should let the automakers fail. This is just one case among many where it is clear that Stiglitz, a liberal, bucks conventional liberal wisdom. Is he right? I'm not sure, but it's always refreshing to hear someone speak who you don't know what he's going to say ahead of time...

I first became a big fan when I read a comment dismissing Alwyn Young's work on productivity growth in the Asian NICs as trash. As it turns out, Alwyn's Young "research" on the Asian NICs was utter trash, but most economists, even today, take it as gospel. Part of the reason is that Paul Krugman published an article in Foreign Affairs hyping the research, not realizing he was shoveling shit...

1 comment:

  1. Does Obama know the true scale of the banking
    crisis,or is he being duped by Geithner and his banksters? The cover up being orchestrated by the banking cartel and Geithner is because if the people knew that the banks getting all the money are insolvent ther would be a run on the banks.If Obama knows whats going on then he's no better than they are.If the coverup succeeds,and the bailouts fail,then what? We may be witnessing
    the meltdown of our economy.