Cato Fights Back
Posted January 27th, 2009 at 6.34pm in Ongoing Priorities.
The Cato Institute sought to make clear where they and the world’s smartest economists stand on the Pelosi-Reid-Obama Debt plan by running a full page ad in the New York Times, Washington Post and other major newspapers this week that includes 200 signatures from major economists who oppose the stimulus:
Notwithstanding reports that all economists are now Keynesians and that we all support a big increase in the burden of government, we do not believe that more government spending is a way to improve economic performance. More government spending by Hoover and Roosevelt did not pull the United States economy out of the Great Depression in the 1930s. More government spending did not solve Japan’s “lost decade” in the 1990s. As such, it is a triumph of hope over experience to believe that more government spending will help the U.S. today. To improve the economy, policy makers should focus on reforms that remove impediments to work, saving, investment and production. Lower tax rates and a reduction in the burden of government are the best ways of using fiscal policy to boost growth.

January 27, 2009 John Theobald, Marietta, GA writes:
Why doesn’t someone, anyone, ask RPO (Reid, Pelosi and Obama) to point to one, JUST ONE example of where this kind of stimulus (AKA Government PORK BARREL) has ever worked before? Why is that such a difficult question to ask? What can they point to that will make anyone with half a brain (cuz that’s apparently all they have between them) begin to even remotely believe that this kind of reckless behavior by OUR representatives will benefit the economy?
Just once I’d like to see some individual from the Press Corps do their duty and ask the tough question.
Were it made a question whether no law, as among the savage Americans, or too much law, as among the civilized Europeans, submits man to the greatest evil, one who has seen both conditions of existence would pronounce it to be the last; and that the sheep are happier of themselves, than under the care of wolves.
- Thomas Jefferson