that's what it comes down to often enough
like elastcity wars multiplier wars are ...thirty year type wars
bloody destructive pervasive and seemingly without end
and yet as policy goes and not prediction .....
why the fuss ?
first we take what we have
example : a federal transfer system
and using this and or other conduits
we attempt to implement means to chosen
aggregate employment and output targets
yes once we commit to a target number
its just do it ...right ?
example:
use the multiplier effect of additional government spending
out of borrowed funds
to restore some number we call sustainable full employment
-------------------------------
there are indeed many avenues of government macro driven spending
biggest distinction after
the distinction
out of additional borrowed funds rather then out of additional tax revenues
is the distinction between
direct government spending
and
spending thru transfers or payments to or tax cuts for firms and households
enter here
theestimation of expected multipliers
for each chosen avenue for more spending
yes they are all about " doing more spending "
more spending that will lead to even more spending
for the purpose of more spending still
but then how much more ?
hence the multiplier wars
"my multiplier is bigger then yours"
"your multipliers are all tiny "
"hey all multipliers are less then one "
most fun
"that multiplier is actually zero !!!"
negative multipliers ??
why not
kinda like
sending more or less " valuable" leather hides
to a soviet factory
that turns them into no goodnik shoes
-------------------------
efficiency debates make sense as an ongoing project
in the academy and institute
but when a vast "injection " is needed now
you go with what you have
and feed it in as best you can
and thank Clio
there is always a tomorrow
