The "stimulate" crowd predicted that too. Remember that Romer asked for a $2 trillion stimulus, and Krugman criticized the stimulus as far too small from day one.
But we know there is a cost because economists study it. (http://en.wikipedia.org/wiki/Output_gap) Of course, the question then becomes whether that cost should be looked at as an investment in getting the economy re-aligned properly, or if it is a loss to be minimized with government action.
no subject
But we know there is a cost because economists study it. (http://en.wikipedia.org/wiki/Output_gap) Of course, the question then becomes whether that cost should be looked at as an investment in getting the economy re-aligned properly, or if it is a loss to be minimized with government action.