re: #648 Cognito

Not really. We indeed do not have historical precedents. The model we (and I use that term loosely) have chosen — the Keynesian one — is untested. So who knows.

That said, I agree — I suspect this ain’t the way. But there are much smarter economists than we have assembled here who admit there’s simply no way to be sure, and so anyone who stomps around in a blog’s comments section and claims to see a clear path to salvation is either a liar or deluded.

Coolidge, Kennedy, Reagan, Clinton, Bush.
Cut marginal tax rates and the economy and tax revenues increased.

Hoover, Roosevelt, Carter, did the opposite and both decreased.

Which path is Obama on.

Kenynes recommends moderate deficits to economic stimulus, this is Kenynes ++.