Carneynomics
Brian Watt ·
Aug 11, 2011 at 4:49pm
The Nobel committee is considering Mr. Carney for their next prize in economics. Why just think how many jobs could be created if more people were unemployed...uh...wait...
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Comments :
Dec '10
Re: Carneynomics
Judging from ~Paules' descriptions of driving a cab in Sante Fe, we should see an explosion of hiring in the bar and casino industries soon.
Aug '10
Re: Carneynomics
Then higher unemployment and more people collecting checks, we'll all be wealthier! Fantastic!
More proof that Democrats are financially illiterate.
Sep '10
Re: Carneynomics
This is not a bad short explanation of the benefit side of Unemployment Insurance (UI) (although it's not really insurance). The explanation leaves out the costs of course. While UI is a useful automatic stabilizer when the economy is struggling with low aggregate demand, like now, it has its down sides as well.
This is not a zero sum transaction, as we all know there are dead-weight costs. We do not have a reserve of cash to pay from, so we must borrow and then pay interest on the payments. The increased, future revenue requirements (higher taxes) then "crowd out" private sector investments making the economy grow more slowly in the long term. And most importantly the payments substantially reduce worker's incentive and desire to find work. This is especially destructive.
Also there is no understanding of what the optimal payment should be, i.e., the amount that stabilizes income expectations, but is not so much that is dissuades work.
So if 99 weeks is good how about 199 weeks? See what I mean Mr. Carney?
Edited on Aug 11, 2011 at 3:38pmApr '11
Re: Carneynomics
Did the press push him at all on this nonsense? This is so counter-intuitive that it begs obvious questions...
1) So, what you are saying is that unemployment is actually a good thing, right?
2) Should we eliminate the 99 week limit and make it limitless. If there needs to be a limit, why?
3) What multiplier do you get out of unemployment payments?
4) Wouldn't it be better to loan the money directly to businesses at 0% so they could actually hire people?
Jun '10
Re: Carneynomics
I think he's bucking for Geithner's job.
Mar '11
Re: Carneynomics
River: Then higher unemployment and more people collecting checks, we'll all be wealthier! Fantastic!
More proof that Democrats are financially illiterate. · Aug 11 at 3:23pm
The most patriotic thing a company could do would be to go out of business. Then, all the employees would stimulate the economy by spending their unemployment benefits!
I used to think that Slobberin' Bobby Gibbs made Scott McClellan look like Winston Bigod Churchill. Jay Carney makes Robert Gibbs look like Milton Friedman.
Apr '11
Re: Carneynomics
Obama's jobs may not have been shovel ready. Many of the comments coming from his adminsration however are!
Sep '10
Re: Carneynomics
Mr. Carney should lead by example on this one.
Dec '10
Re: Carneynomics
I have trouble laughing at this stuff. People who have absolutely no idea about capital creation and what makes for prosperity are running this country. It's terrifying.
I almost feel sorry for Carney. He's one of the minor demons in this morality tale and he's a slave to the narrative. I can see the sweat on his brow as he digs the hole, fills the hole, digs the hole...
Smell the sulfur? God help us.
Dec '10
Re: Carneynomics
Aw, Pseudo, you're a gem! I'd stuff the LIKE box if I could.
Jun '10
Re: Carneynomics
Western Chauvinist: I have trouble laughing at this stuff. People who have absolutely no idea about capital creation and what makes for prosperity are running this country. It's terrifying.
I almost feel sorry for Carney. He's one of the minor demons in this morality tale and he's a slave to the narrative. I can see the sweat on his brow as he digs the hole, fills the hole, digs the hole...
Smell the sulfur? God help us. · Aug 11 at 6:08pm
I wouldn't feel too sorry for Carney. He knew the job was dangerous when he took it.
Apr '11
Re: Carneynomics
I wonder what's in that can...
Apr '11
Re: Carneynomics
The logical extension of Carney's argument is that we'll all be sitting pretty at unemployment of 100%. How could the reporters not question him on this? I would have been making a scene trying to get a word in edgewise.
Dec '10
Re: Carneynomics
Tony Snow, we miss you.
May '10
Re: Carneynomics
Is this the Broken Window Fallacy theory of economics?
Jun '10
Re: Carneynomics
Wait. We could put lots more on disability payments and the economy would rock. I'll volunteer. I'm suffering post-traumatic-stress-disorder from the Obama presidency. And I am a patriot who, in the national interest, is willing to sit around for the good of the economy.