Wednesday, June 3, 2009

Department of apt analogies

Austan Goolsbee from the president's Council of Economic Advisers commenting on critcism from academic economists of some of the administrations policies,

Look, we enter[ed] the government essentially in a hotel that is on fire. We’re throwing people from the windows into the pool to save their lives and this is the evaluation of the Olympic diving committee.[...]


Ezra has the rest. As he quotes Norm Schiebner saying, the grumbling over inflation is a bit maddening given the grave threat of deflation we were staring down not too long ago. Also I think a lot of the inflation hawks are basing their position on an assumption that the administration will simply stand by and watch helplessly as inflation creeps up until its a towering inferno and we're 1930s Germany. Suffice it to say I think the Fed and the Obama administration are significantly more competent than that.

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