LOOKS LIKE I PISSED OFF THE LIBS THIS WEEKEND

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…saying cutting government spending will not hurt the economy…blah blah blah…they want more spending…just an idiotic excuse. They quote the IMF…blah blah blah…they are all insane. Read and watch the following:

Fox contributor Gary Kaltbaum today said that it’s “insane people” who believe that “if you cut spending, it’s gonna hurt the economy.” In fact, actual economic experts agree that cutting spending during weak economic growth damages recoveries and depresses employment.

This was the conclusion of the October 2010 World Economic Outlook report, in which the International Monetary Fund examined data from the past 30 years to see what impact austerity measures had on weak-performing economies. The IMF wrote:

A key result is that fiscal consolidation is typically contractionary. A fiscal consolidation equal to 1 percent of GDP typically reduces real GDP by about 0.5 percent after two years. The effect on the unemployment rate is an increase of about 0.3 percentage point after two years. The results are statistically significant at conventional levels. Overall, the idea that fiscal austerity stimulates economic activity in the short term finds little support in the data.

But according to Kaltbaum, this belief is shared only by “insane people.”

Continued

SOURCE: https://mediamatters.org