Professor Elam

Monday July 18, 2011

Carmen Reinhart and Kenneth Rogoff wrote This Time is Different.

Eight Centuries of Financial Folly reveals for example that modern Greece, since 1823, has been in default as much time as it has paid its debts. Now they explain why QE 3 won't work.

Eventually the debt becomes a drag on growth. And for my two cents, the government 'stimulus' just goes to pay off political deadbeats and hangers on.