Wednesday, 1 September 2010

U.S. Fed Stimuli = Electric Shock Therapy

Guest Post by Jeff Perren.

As the title is supposed to suggest, Federal stimulus programs that consist of spending are about as effective as that now-universally discredited method of psychotherapy, and about as insane.

Here's a bit of real world data to keep in mind when you hear Krugmanites tout Federal spending as an economic stimulus:

Big spending is another economy-killer. A recent OECD study noted that for every percentage point increase in spending among the nations studied, per capita GDP fell by 0.3% and investment by as much as 0.4%. So more government "stimulus" cures nothing.


  1. Poor comparison, PC. Electric Shock Therapy (or more correctly Electroconvulsive Therapy) is neither insane, ineffective, or a form of psychotherapy.

    As such, it is far more effective than a Fed Stimulus.

    I know which I would rather have...

  2. the drunken watchman1 Sep 2010, 22:49:00

    universally discredited?

    Electric shock therapy is still being conducted in some New Zealand hospitals in cases of extreme depression

    Personally I'd rather have a bottle in front of me ....


Say what you mean, and mean what you say.

And make some effort to stay on topic.

(Trolling will be moderated. If it isn't entertaining.)