The Raygun-Bush Jr. GOP era has been unimaginably awful for us and the world; the equivalent of a thirty year bender. It’s like a cancer; it can be treated, cured, but is essentially never gone. If nothing else, the fear is there.
Paul Krugman notes something not really explored: All of Beloved Leader’s gratuitous tax cuts: what’ve they cost, actually?
Dean Baker is having some fun with the Washington Post, which keeps looking for superlatives to describe the “staggering”, “breathtaking” expense of the stimulus plan. And Dean is quite right to point out that reasonable estimates of the shortfall in private demand are on the order of three times the $800 billion package. (Jan Hatzius at Goldman, using different methods, arrives at more or less the same number.)
One other comparison worth making, however, is with the Bush tax cuts, which will end up having cost about $2 trillion over the course of a decade — without anything like the economic rationale for the stimulus. Did the Post find this cost staggering? Inquiring minds want to know.