Feb 25, 2012

Robert Barro's short book on crisis of governments

[Barro] looks at the effects of fiscal stimulus packages and suggests that, whilst they may lead to an immediate positive impact on growth, the effect will quickly wear off and the effect of the so-called stimulus packages will then be negative. . .  
[He] moves on to discuss what he believes will be the next crisis – a crisis of government indebtedness.
Time will tell . . .   

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