Naked Capitalism Link of the Day

Today's link: The Dismal Political Economist Interviews John Maynard Keynes, at The Dismal Political Economist:

Mr. Keynes:  You use fiscal policy to increase Aggregate Demand.  Increasing government spending is the best way to do this, since you can target specific areas, specific industries and specific pockets of unemployment.  Once you get the economy jump started, investment and growth will start to take the economy to full employment.  Just make sure you do it long enough and strong enough.

17. Well Conservatives in the U. S. Congress want to cut government spending and decrease taxes on the very wealthy.  Will that work.

Mr. Keynes:  Well, not on this planet, maybe in some other solar system.  How exactly does firing government employees and firing employees in the private sector who provide service and goods to government return an economy to full employment?  And you need tax cuts directed at people who need the money and who will spend it on consumer goods to stimulate, you know, that  Aggregate Demand thing again.

Why would you let people like that into government?

17. Well, they were voted in because voters disliked Democratic plans to provide universal health care for everyone at an affordable price.

Mr. Keynes:

Why would you let people like that vote?

The whole thing is worth reading.