Open Thread

by Mary

The deficit hawks and anti-tax jihadists have convinced many people that nothing is worse than government spending during an economic crisis. But as Paul Krugman has said before and says quite clearly in his latest column, falling into a deflationary slump can be a dangerous trap that would be very difficult to extract our country from if we do too little. When children are unable to get a good education because teachers are laid off and those left have no time to help those who need a little more help, it is very hard to make up for the loss in their lives. When bridges are not maintained, a catastrophic failure is much more expensive than the cost of upkeep would have been. Indeed, the austerity advocated by the shock doctors is much worse for our long-term economic health than new taxes to keep the most essential services going would be. And people know that, because even in conservative Arizona, the voters voted for a tax increase rather than deeper cuts.