Today’s Priority Cannot Be Austerity
jaredbernsteinblog.com — “Today’s priority has to be austerity, not stimulus…” I keep hearing this argument that somehow immediate cutting, slashing, and burning will generate growth and jobs, by how? Usually, it’s “confidence” and “certainty.” Obviously, such psychological states of mind matter a lot in an economy, but at a time like this, they simply can’t matter as much as customers. What is on the table is a robust jobs plan that could actually help put some money in people’s pockets, fix some schools and some productive infrastructure, and get some folks back on the job. If we can make those things happen, and perhaps get some monetary stimulus behind them as well, business investment is likely to follow.