The madness of Murph: “expansionary fiscal contraction” confused
Accountant Richard Murphy has an article up at Liberal Conspiracy about “expansionary fiscal contraction”. He writes,
Expansionary fiscal contraction is what is called a ‘general equilibrium model’ based on the ideas of neoliberal economics. For the wonks there’s an explanation here.
What this means in fairly lay terms is that the model assumes that we know the future.
Question: Who the hell is this guy, and what is he going on about? Your guess, dear reader, is as good as mine.