Paul Krugman

Paul Krugman @paulkrugman

The obvious point: Dems know that they face scorched-earth GOP opposition to everything, but (some) journalists still pretend that Biden could be bipartisan if he wanted, so this is a way to say hey, we are bipartisan, if you look at public opinion — PolitiTweet.org

Paul Krugman @paulkrugman

Podcasting about the Biden agenda and all that, with Betsey Stevenson and Al Franken https://t.co/rantLy50qO — PolitiTweet.org

Paul Krugman @paulkrugman

Oh, and it was entirely bond-financed; no pay-fors except the prospect of future tolls 4/ — PolitiTweet.org

Paul Krugman @paulkrugman

And this was a state, not a national project. As a share of New York's GDP, it was probably the equivalent of a national project > $1 trillion today 3/ — PolitiTweet.org

Paul Krugman @paulkrugman

But the US economy was vastly smaller then than it is now, and prices were much lower. This may have been almost 1% of a year's GDP, the equivalent of ~$200 billion today 2/ https://t.co/V8LpBUd1Io — PolitiTweet.org

Paul Krugman @paulkrugman

Having a bit of fun delving into the history of infrastructure spending. Q: how big a deal was the Erie Canal? It cost $7 million, which sounds trivial. 1/ https://t.co/NanE6cT1Zy — PolitiTweet.org

Paul Krugman @paulkrugman

Facts don't necessarily matter. But I suspect Rs will need to come up with something better than the claim that taxing corporate profits is unpatriotic 5/ — PolitiTweet.org

Paul Krugman @paulkrugman

And if you get into the weeds (which I'm trying to do), there were badly designed provisions in the TCJA that actually encouraged investment outside the US 4/ — PolitiTweet.org

Paul Krugman @paulkrugman

As a result, Trump's tax cut was basically a giveaway to stockholders — and foreigners own 40 percent of US equities 3/ https://t.co/r4hCplNzOh — PolitiTweet.org

Paul Krugman @paulkrugman

But it didn't. 2/ https://t.co/K06LaWTAlS — PolitiTweet.org

Paul Krugman @paulkrugman

This attack might have a smidgen of credibility if the Trump tax cut had actually caused corporations to bring money back to America and invest more 1/ https://t.co/fI54n3gp9D — PolitiTweet.org

Paul Krugman @paulkrugman

Maybe the Biden team knows what it's doing ... — PolitiTweet.org

Paul Krugman @paulkrugman

In a way, Biden is positioning himself as a greener Dwight Eisenhower, on both spending and taxes. Not a bad place to be ... 7/ — PolitiTweet.org

Paul Krugman @paulkrugman

Republicans gonna Republican, shouting "job-killing" and "socialism." Biden team should hope they keep it up — this plays well to their faithful, but not with the rest of the country 6/ — PolitiTweet.org

Paul Krugman @paulkrugman

Gotta say I really like Greg Sargent's phrase "forward-looking nostalgia". Big infrastructure is an American tradition, from the Erie Canal to the Interstate Highway System.5/ https://t.co/PAXESs1IQA — PolitiTweet.org

Paul Krugman @paulkrugman

But Biden team knows all this. If they can pass tax increases linked to physical infrastructure, this creates space for being relaxed about budget implications of child care etc initiatives 4/ — PolitiTweet.org

Paul Krugman @paulkrugman

Real interest rate over time (using previous 3-year core inflation) 3/ https://t.co/eViZnWxARf — PolitiTweet.org

Paul Krugman @paulkrugman

Also very much agree that the case for a full pay-for via taxes is weak, given extremely low real interest rates, which are a triple reason to spend: we can afford it, private sector doesn't see high returns, and it means that we need to worry about secular stagnation 2/ — PolitiTweet.org

Paul Krugman @paulkrugman

Agree with just about everything here. This looks like a solid plan, with almost everything justified; but it should be only part of building back better — the really high-return public investments are probably in people, especially children 1/ — PolitiTweet.org

Paul Krugman @paulkrugman

Infrastructure week has actually arrived! — PolitiTweet.org

Paul Krugman @paulkrugman

The conservative establishment no longer controls the GOP — the bigots are now in charge — and right-wing economic policies are unpopular. Why doesn't the party move left? https://t.co/WJZeV4XVGn — PolitiTweet.org

Paul Krugman @paulkrugman

RT @nytopinion: "Why are elected Republicans still so committed to right-wing economic policies that help the rich while shortchanging the… — PolitiTweet.org

Paul Krugman @paulkrugman

Anyway, I hope that the slight Very Serious People vibes I'm getting don't end up doing too much damage 5/ — PolitiTweet.org

Paul Krugman @paulkrugman

Of course, one possibility is that the administration expects some parts of the ARP — child tax credit and ACA enhancements — to become permanent, adding sustained stimulus 4/ — PolitiTweet.org

Paul Krugman @paulkrugman

Under those conditions sustained deficit spending on investment is actually good — which was the case Larry Summers was ably making before he began his crusade against the ARP 3/ — PolitiTweet.org

Paul Krugman @paulkrugman

The stimulus from the American Rescue Plan will be largely in the rear-view mirror by the time infrastructure ramps up; we'll probably be back in an environment of weak demand and low interest rates 2/ — PolitiTweet.org

Paul Krugman @paulkrugman

This is preliminary, and probably being floated in part to get reactions. But for what it's worth, it sounds as if the Biden plan will be too deficit-averse 1/ https://t.co/qbDsFvOszn — PolitiTweet.org

Paul Krugman @paulkrugman

The whole dynamic is remarkable: GOP intransigence is actually empowering policies much more progressive than those of the early Obama years, because centrist Dems have nobody on their right to compromise with 2/ — PolitiTweet.org

Paul Krugman @paulkrugman

So far Build Back Better is looking politically like the American Rescue Plan: it's likely to be enacted on a straight party-line vote, but also to be highly popular. 1/ https://t.co/nNiDUPzq5r — PolitiTweet.org

Paul Krugman @paulkrugman

RT @nytopinion: . @PaulKrugman responded to readers commenting on his column "The Decline of Republican Demonization." Join the conversatio… — PolitiTweet.org