February 2020

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An alternative to the Krugman view.

This is largely a debate between macro and micro. Krugman see micro as irrelevant and monetary policy as impotent. Of course, he has been right about monetary policy.

In a recent column he blamed Germany for the problems of all of Europe because Germany runs a current account surplus. He called on Germany to quit harming its neighbors and to ruin its economy as the others have by saving less and being less productive. He totally ignores the micro problems that the Big EZ South has created for itself.

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