Proving once again that Nobel Prizes don’t make you smart, Paul Krugman recently slammed Texas’ economic decisions, claiming that Obama was responsible for everything good going on in the Lone Star state, and Texas did nothing to increase job growth.
That notion was thoroughly debunked here by Kevin Williamson.
Then there’s this one that Michelle Malkin writes about:
If we discovered that, you know, space aliens were planning to attack and we needed a massive buildup to counter the space alien threat and really inflation and budget deficits took secondary place to that, this slump would be over in 18 months. And then if we discovered, oops, we made a mistake, there aren’t any aliens, we’d be better–
Comics Alliance (with several lefty commenters) noted the interesting parallels as well.
Apparently one of the otherwise confused commenters has heard of Hazlitt or Bastiat and the Broken Window Fallacy.
Why not just skip a step and pay some people to break all of the windows in the US?
Hell, even Wikipedia notes it:
One of the central economic critiques of Military Keynesianism is known as the broken window fallacy. Based on a parable by the 19th-century French economist Frédéric Bastiat, it points out that if a person broke a grocer’s window then some people could argue that it was a benefit to the town, as it would provide a job for a glazier, who would then buy more from the tailor and so on. Bastiat pointed out that this is deceptive and illogical reasoning, as it ignores what the grocer would have bought had he not been forced to buy a new window – it ignores, in modern economic terminology – opportunity cost. Military Keynesianism fails to take into account opportunity cost – i.e. what those soldiers would have been doing instead of being soldiers, and also what arms companies could have been making instead of war material.
Another economic critique of military Keynesianism is that military spending comes from general taxation. It requires high levels of taxation to fund military spending, and that taxation must come from the productive sectors in the economy, thus being a long term drag on economic growth (this is one of the central criticisms of Keynesianism in general).
Note that the first quotes in the video are Krugman saying 9/11 was a good thing.
Krugman’s argument fails so hard it’s not even funny. WWII put an end to the Keynesian New Deal that was busy butchering livestock and plowing acres of farmland so people could starve. The New Deal was a nationwide price-fixing scam by the government intended to make everything even for everyone. But, as Reagan said, “the more the plans fail, the more the planners plan”, and the more harm that was done. The crash in the 1920s was halted by leaving it alone and letting the market recover. The New Deal, a nationwide meddling scam that prevented farmers from growing wheat for their own farm and ordered them to destroy their own crops.
The New Deal has been taught in schools as what saved the US from the Great Depression, when it was what really caused the Great Depression. WWII ended the New Deal, and the death of the New Deal spelled the end of the Great Depression.
Krugman is a fool on another level as well. The Broken Window applies to tanks and bombs and guns as well as the glazier’s handiwork. Every tank or bomb paid for by taxes is extracted from businesses and personal incomes that could be expanding individuals’ well-being. Tanks, bombs, and guns are necessary tools, and a military is necessary function of government, but to wish for the expansion of it just to “create jobs”, goes back to the militaristic left and their “moral equivalent of war” – which is just one long sickening paean to statist control of the population.
Of course Krugman wishes for aliens to attack. It means control. Funny the very thing the left accuses the right of doing is the very thing the left so gleefully desires to the point of self-parody. Heck, some people even use extraterrestrial invaders as a punchline mocking actual wars.
Tell all the people that they’re under attack
By man-eating foes from Mars or Iraq
Mobilize outrage, muzzle dissent
Send in the troops, strike to pre-empt
Sadly the leftist bent of most in the music industry is severe enough they can’t see that the left in the US is far more disposed to tyranny – indeed actively wishing for it - than the right in the US which is by default accused of it (which is probably due to demoralization).
Paul Krugman represents the ruling class, and represents people who think they know what’s best for you. He’d be happy with a great calamity that will let him swoop in and prevent that “good crisis” from “going to waste”.
Too bad musicians can’t listen to their own songs and advice and apply it to the left as well. So sad.
Update: This has been a consistently popular post. Every day I’m surprised with the number of people typing “paul krugman is an idiot” into Google. There have been two follow-ups to this, for those who enjoyed or otherwise found this one enlightening. More data, more Keynesian idiocy: Paul Krugman, Keynesian Idiot Part 2, and Paul Krugman, Keynesian Idiot Part 3.
I’m sure there will be more, and the easiest way to find them will probably be with the “Keynesianism” tag. I may add a “Paul Krugman is an Idiot” tag at some point, though.