Friday, August 26, 2011

Media trots out another "economist" to herd us into QE3

Roubini added absent organic, strong GDP growth -- which can increase wages and consumer spending -- what's needed is large fiscal stimulus, agreeing with another high-profile economist, Nobel Prize-winner Paul Krugman, that, in the case of the United States, the $786 billion fiscal stimulus approved by Congress in 2009 was too small to create the aggregate demand necessary to advance the U.S. economic recovery to a self-sustaining expansion.
The essential thing about such later matters is, that under the controlling influence of Britain's Frederick Engels, Marx was repeatedly steered away from the American System of political-economy, first in an attack, foisted by Engels, against Friedrich List, and, later, again by Engels, against the world's leading economist of that time, Henry C. Carey, and, broadly, against the work of U.S. Treasury Secretary Alexander Hamilton. With aid of Engels' ideological sheep-herding of Marx in that way, Marx's own product was never anything but an alternate brand-name variety of the British system. Karl Marx never had any comprehension of real modern physical science or economics, outside the bounds of what the Marxists had been duped into insisting—often, even mindlessly chanting—were the only scientific economics prior to the work of Marx himself, the philosophical pig-sty often identified as the empiricist "Enlightenment." Usually, self-styled "Marxists" simply denied the existence of anything in the world outside the bounds of their rather cultish selection of canonically certifiable readings. Marx's own pitiable ignorance of physical science, and also of the pre-history and history of the American System in particular, are typical of this enormous ration of scientific illiteracy which dominates the tradition of Marx and of most of his self-styled followers to the present day.

Why is it that none of the establishment's economists can seem to comprehend that HOW we spend money matters? To them, there's no difference between spending it on worthless paper (bankers' gambling debts) or on modern infrastructure. It appears to me that Roubini is just going to bat for "Helicopter Ben" Bernanke.