As Biden moves toward Phase 2, infrastructure spending paid for in part by taxes on the rich, he'll once again be doing very much what the public wants. Infrastructure is very popular 1/ news.gallup.com/opinion/pollin…
So are higher taxes on the rich 2/ news.gallup.com/poll/1714/taxe…
So when Democrats give in to the 70-80% of voters who think we should be spending more on infrastructure, th 62% who think the rich should pay more taxes (69% say the same about corporations), will they be lambasted for not being bipartisan? 3/
Yes, they will. But that tells you more about the uselessness of bipartisanship as a goal in and of itself than about reflecting the will of the people 4/

• • •

Missing some Tweet in this thread? You can try to force a refresh
 

Keep Current with Paul Krugman

Paul Krugman Profile picture

Stay in touch and get notified when new unrolls are available from this author!

Read all threads

This Thread may be Removed Anytime!

PDF

Twitter may remove this content at anytime! Save it as PDF for later use!

Try unrolling a thread yourself!

how to unroll video
  1. Follow @ThreadReaderApp to mention us!

  2. From a Twitter thread mention us with a keyword "unroll"
@threadreaderapp unroll

Practice here first or read more on our help page!

More from @paulkrugman

24 Mar
What is Yellen talking about here? Look at the data 1/
Was there any break in the trend in business investment after a very large tax at end 2017? No 2/
Real nonresidential fixed investment ex mining (which is noisy because of oil price/fracking stuff) 3/
Read 4 tweets
24 Mar
So actually I think Noah, unusually, has this mostly wrong. These macro wars are very different from those of 2011; the debates are about numbers, not principles — basically because the big conceptual issues were settled when one side won 1/ noahpinion.substack.com/p/the-return-o…
This time we really are all Keynesians now — or at any rate nobody is listening to the people who insisted austerity is expansionary, all unemployment is structural, etc. Summers, Blanchard, Yellen and yours truly are working in pretty much the same framework 2/
And that framework is IS-LM-ish macro, where deficit spending is expansionary at a given interest rate. The question is how expansionary. And that's a subject for dispute mainly because we are in uncharted policy territory 3/
Read 6 tweets
23 Mar
A lot of this is reversing the Trump tax cut; McConnell is already denouncing it as "job-killing". So maybe worth looking at recent effects of tax changes for the 1% 1/
Significant rise in 2013, bc Obama allowed some Bush cuts to expire and new taxes for ACA. Then significant cut in 2017 as TCJA went into effect. I use CBO projections for 2021 as basis for post-2016 2/
And here's what we get. See the job-killing effect? Neither do I 3/
Read 5 tweets
21 Mar
Now that the big Biden package has been enacted, we're hearing warnings from some economists — well, one economist — about stagflation. As always, history is extremely useful in thinking about such things; and I've been reviewing the great inflation panic of 2010-11 1/
My sense is that this episode has been widely forgotten, but it's very relevant. Here's what happened: as the economy began to recover from the 2007-9 recession, headline inflation picked up to almost 4% 2/
Producer prices — basically wholesale prices — were rising at a double-digit clip 3/
Read 9 tweets
20 Mar
Defense of inherited privilege, of all kinds, is the logical consequence of where U.S. conservatism has been heading for a long time. That's what estate-tax repeal is all about! 1/
It was already obvious in the Bush years 2/ nytimes.com/2002/11/22/opi…
And we started to see books praising nepotism 3/ nymag.com/nymetro/arts/b…
Read 4 tweets
20 Mar
A friend recently reminded me of this classic case of inflationista scare tactics during the Obama years; what we should have been getting ready for was unjustified inflation panic 1/ wsj.com/articles/SB124…
For a brief moment after the GOP took over the House, Rs went all in on accusing Ben Bernanke of debasing the dollar, basically because of a surge in commodity prices 2/ nytimes.com/2011/02/10/bus…
The Fed, however, stood its ground, because there was no surge in core inflation, which it (correctly) considered a much better guide to policy 3/
Read 8 tweets

Did Thread Reader help you today?

Support us! We are indie developers!


This site is made by just two indie developers on a laptop doing marketing, support and development! Read more about the story.

Become a Premium Member ($3/month or $30/year) and get exclusive features!

Become Premium

Too expensive? Make a small donation by buying us coffee ($5) or help with server cost ($10)

Donate via Paypal Become our Patreon

Thank you for your support!

Follow Us on Twitter!