So the other day he cited Neil Irwin favorably, argued that the real problem (i.e. - the nominal problem) was in 2008 rather than 2007. He said he was OK with the Fed policy through 2007 but wished they were more active in 2008.
Now today he quotes Krugman also citing Neil Irwin favorably, also saying the real problem was in 2008, and also saying that that's when mistakes were made... but he is adamant that this is proof that Krugman disagrees with him.
HUH?!?!?
So the best I can make of it is that Krugman said the worst mistakes were in fiscal and housing policy. Krugman does not think we should have just relied on monetary policy (part of the reason was precisely that fiscal policy helps monetary policy work more effectively - it gives the Fed traction).
That part is different from Scott. But Scott, he's agreeing with you on every single point that you made just the other day!
This is getting laughable. I don't get this man.
Saturday, January 19, 2013
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Perhaps this may be a cliche statement, but if I had to state the reason why Scott B. Sumner won't say that he and Paul R. Krugman have similar policy recommendations with regard to monetary policy...
ReplyDelete"It's human nature."
I myself have had a hard time giving credit to people who agree with me on the same matters but who I don't get along with personally. I still have this problem, in fact, despite my efforts to work at it. But I suppose that Sumner has a dislike for Krugman's Keynesian position and possibly Krugman's personality, so I can see why he would have trouble giving credit to Krugman or saying that he and Krugman have similar policy recommendations.