Even though pundits at the World Economic Forum in Davos have proclaimed the end of the Global Crisis, the European crisis continues to unfold. Ramanan correctly notes that Draghi suggests that fiscal consolidation [that's Doublespeak for fiscal contraction] is essential for the recovery. Meanwhile Zezza shows that Italy increasingly looks like Greece and other countries that have committed to contractionary policies.
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The World Upsidedown: Progressives and the Return of the Victorian Policy Consensus
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Teaching on the capital debates this and last week. So here are some thoughts, based on my class notes and the required readings (see below)...
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