Brad DeLong points out that Greg Mankiw is standing in the minority among the quoted experts in the Washington Post article, Economists Agree Time is of the Essence for Stimulus, and among economists these days. It isn't easy to find anyone who is truly happy with how Congress is handling the stimulus bill. There are plenty of economists opposed to the current stimulus package because they don't think it does enough. And there are economists who are opposed to any sort of major fiscal stimulus by the federal government. The Cato Institute bought a full page ad in the New York Times to list members of the latter group. But as we start another week of haggling over the details, it is always helpful to see economists explain what they would do. So agree with Mankiw or disagree, take a look at what he would do in My Preferred Fiscal Stimulus. And note that he, a believer in tax cuts generally, calls for a gas tax. For regular readers of Mankiw's blogs, this comes as no surprise. If you aren't familiar with his rationale for the gas tax, go back to his 2006 op-ed on the subject.
Posted
02-09-2009 3:44 PM
by
Graham Griffith