Paul Krugman:Reaganite Delusions

[cal04]

http://krugman.blogs.nytimes.com/2012/01/16/reaganite-delusions-2/?smid=tw-NytimesKrugman&seid=auto

Ah. Noah Smith goes reading in the fresh waters, and finds that people there are still claiming that there was a dramatic improvement in growth once Reagan/Friedman came along.

I’ve written about this many times, e.g. here. The great era of US economic growth was the postwar generation; even during the good years of the 90s we didn’t achieve comparable growth, and overall, the post-Reagan era was marked by slower growth than the equivalent period of time pre-Reagan. And I haven’t even gotten into the income distribution thing.

All of which makes me wonder: what goes on in these peoples’ minds? Do they never even think of actually looking at the numbers, because they know that Reagan ushered in a great boom? Inquiring minds (which they obviously don’t have) want to know.

[cthulu2016]

1. Growth=Stock Market

That what growth really means to these assholes.

The DOW was at 1000 in 1980 and median family income was $17K. Median family income has tripled, right in line with inflation. The DOW was incresed ten, twelve times over.

So yes, if you had a lot of money in stocks the reagna era (1980-forever) is awesome. For everyone else it sucks.

[da_decider]

2. "Trickle Down economics was a Trojan Horse". - David Stockman, Ronald Reagan's budget director!

[redqueen]

3. K&R

As for what goes on in people's minds? Well if we're talking about that all too common Reagan-worshipping type of person: Not much. Not much at all.