Debating Economists Can Agree on Bailouts and Taxes
PBS Newshour hosted a live TV debate between Mark Zandi and me on the question of whether government interventions helped or hurt the economy. The show highlighted a paper by Alan Blinder and Zandi, about which I posted comments. Several people who watched the show commented on how Zandi agreed with me on two important issues:
- that the on-again off-again bailout policies in 2008 helped bring about the panic that year and
- that holding off on any tax rate increases next year would be a stimulus to economic growth.
Of course, we disagreed about other things.