Links for 2009-01-25

  • You are independent of all logic Giulio Tremonti! | A Few Euros More – «Indeed, Giulio Tremonti does have this much in his favour, he never flinches in the face of having to change his mind. Only today (Jan.21st) he came out and abandoned his forecast (yes, only today) that the Italian economy would expand in 2009 and informed us that it is about to have the worst contraction in more than 30 years. Of course, it is just mere coincidence that the European Commission yesterday forecast a contraction of a similar order»;
  • Marginal Revolution | What instead? – «There is a good case for moving up useful infrastructure spending (both public and private) today – but I agree with Tyler that it is too early to think that monetary policy is ineffective. M1 is rising sharply, M2 is up. Monetary policy works with lags»;

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