Tuesday, July 24, 2012

Betsey Stevenson and...

...Justin Wolfers are a couple of economists at the University of Pennsylvania. They have a piece in Bloomberg this morning that argues that there is actually a "remarkable consensus among mainstream economists on most major macroeconomic issues."  

"The debate in Washington," they assert, "is phony. It's manufactured. And it's entirely political." 

For example (my emphasis): 

The standard Republican talking point is that [the stimulus] failed, meaning it didn't reduce unemployment. Yet in a survey of leading economists conducted by the University of Chicago's Booth School of Business, 92 percent agreed that the stimulus succeeded in reducing the jobless rate. 

And: 

How about the oft-cited Republican claim that tax cuts will boost the economy so much that they will pay for themselves? It's an idea born as a sketch on a restaurant napkin by conservative economist Art Laffer. Perhaps when the top tax rate was 91 percent, the idea was plausible. Today, it's a fantasy. The Booth poll couldn't find a single economist who believed that cutting taxes today will lead to higher government revenue -- even if we lower only the top tax rate. 

There's more, and it would be a good article to show your Fox News-watching relatives at the next family gathering. 

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