— This smart NYT op ed, The Machine and the Garden, makes the case that the economy is an organic, naturally impaired system, not a perfectly working machine. As the authors write, “An economy isn’t a machine; it’s a garden. It can be fruitful if well tended, but will be overrun by noxious weeds if not.” I also liked this statement, and wonder if we’ll ever be able to move on from tedious argument on the topic: “Empirically, trickle-down economics has failed. Tax cuts for the rich have never once yielded more net revenue for the country. The 2008 crash and the Great Recession prove irrefutably how inefficient and irrational markets truly are.”
July 18, 2012
"Government spending is not a single-step transaction that burns money as an engine burns fuel; it’s part of a continuous feedback loop that circulates money. Government no more spends our money than a garden spends water or a body spends blood. To spend tax dollars on education and health is to circulate nutrients through the garden."