Erskine Bowles Dismisses Facts on Deficits. Perhaps Because He Collects Millions for Deceiving....

[marmar]

Beat the Press / By Dean Baker

Erskine Bowles Dismisses Facts on Deficits. Perhaps Because He Collects Millions for Deceiving the Public?
Overwhelming evidence shows that there is little obvious reason to fear higher debt levels.

April 24, 2013 |


Most of us accept that the earth goes around the sun. This is impressive since we can look up in the sky and see the sun going around the earth. We believe the opposite because we have been told about the research of astronomers over the centuries showing that what we can see with our own two eyes is wrong. Instead we accept that the motion of the stars and planets can be much better explained by the earth going around the sun.

Suppose for a moment that astronomers and people who write on astronomy did not agree on earth or solar orbits. Imagine that a substantial group of these people, including many of the most prominent astronomers, insisted that the sun goes around the earth, as anyone can plainly see. In that case there would likely be huge numbers of people who refused to accept that the earth goes around the sun. This is the state of modern economics.

A new study by three researchers at the University of Massachusetts found major arithmetic errors in the widely cited paper by Carmen Reinhart and Ken Rogoff, "Growth in a Time of Debt," that purports to show high levels of government debt sharply slow growth. This study has been widely cited by political figures demanding deficit reduction, in spite of the fact that the unemployment rate remains high and interest rates are at extraordinarily low levels.

When the errors in the Reinhart and Rogoff study are corrected, the strong relationship between high debt levels and slower growth disappears. In other words, there is little obvious reason that we need fear higher debt levels. We can have the government make investments in infrastructure and education that will boost growth, create jobs, and increase future productivity. ...................(more)

The complete piece is at: http://www.alternet.org/news-amp-politics/erskine-bowles-dismisses-facts-deficits-perhaps-because-he-collects-millions

[byeya]

1. I would have been happy to go all day w/o reading the name Erskine Bowles but since his name has

arisen he's one of the DINOs that makes a large living serving on Boards of Directors of large multinationals and I think it's safe to say he will get his lunch hooks around any bit of data -no matter the source - that supports the $$$boys position of the moment.
Big buddy of Clinton's too.