Monday, December 5, 2011

Krugman on Government Spending

In the link below, Nobel Laureate Paul Krugman shows the importance and impact of government spending on GDP. Krugman's argument is consistent with Keynesian theory as he shows the stimulative effect of government spending during a depression; similarly as discussed in class.


http://krugman.blogs.nytimes.com/2011/11/22/the-big-drag/

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