Thursday, March 28, 2013

Michael Stevens — How Much Fiscal Stimulus Do We Need?

How much fiscal stimulus would the government need to inject into the economy over the next two years in order to get the unemployment rate into the 5.5–5.9 percent range? In their newest strategic analysis, Dimitri Papadimitriou, Greg Hannsgen, and Michalis Nikiforos provide us with some harrowing answers.
Multiplier Effect
How Much Fiscal Stimulus Do We Need?
Michael Stevens

2 comments:

y said...

I'm not sure why everyone uses the word "stimulus". Do they call private spending "stimulus"?

F. Beard said...

It's not stimulus we need; we need RESTITUTION (in the form of new fiat created without borrowing and simply given to the population equally) for the systematic looting of the government backed banking cartel. Credit creation cheats borrowers by driving them into debt that is unpayable in aggregate without even more debt UNLESS the monetary sovereign (e.g. the US Federal Government) creates the required interest and it cheats non-borrowers by denying them the ability to save without losing purchasing power.

"Stimulus" is akin to giving starved slaves a little nourishment so even more labor can be extracted from them.