Quote:
Originally posted by Spanky
This was not Rubins theory, but the conventional wisdom of the bond markets. The bond markets definitely don't think this has been proven incorrect. I don't buy the Republican propaganda about Rubin. Without him things would have really gotten out of hand from 92-94. In addition, if the Republicans had not come to power in 1994 he would have been the person holding us back from disaster.
In addition, he argued that the Republican spending cuts were not necessary because economic growth would pull us out of the deficits sooner than people thought. He was right. I think the spending cuts would have been a good thing, but the guys knew his stuff.
|
I don't mean theory in the literal sense, but it was his guiding management principle. How could they not think it? We've had massively growing deficits for 5 years, while rates have (until recently) been near historic low levels.
