Krugman - Good news: Janet Yellen will be the Fed’s new #2.

From Calculated Risk:

it seems there are DUers that don't like good news.

Every group has its idiots....

bad news on DU. I would think everyone would support Janet Yellen as FED # 2.

Oh yeah.....it's good news, nothing to rail about!

beliefs?

Honestly, most of DU can't figure out a BLS labor statistic report, let alone understand monetary policy theory.

I highly doubt, you could intellectually discuss why this is good or bad news.

two of us?

If you disagree with Krugman (someone whom many here respect) that's fine, but present your case rather than demanding that others present theirs. Show us your superior ability to intellectually discuss this theory. Giving us a 2-line post requesting an explanation of "neo-Keynsian macro- economic theory" rather than posting your own "neo-Keynsian macro- economic theory"-based explanation of why Krugman is wrong seems like a diversionary tactic rather than someone with a strong case to make.

(It's been a few years since I got my economics degree >, but I think I can handle your "neo-Keynsian macro- economic theory"-based explanation of where Krugman went wrong, if you care to present it.)

We are soooo oppressed in this thread, is the people complaining others fail to see the "good news" don't understand what this means themselves. There is one person down thread that was taught by her in this thread who can vouch for her character.

I like Paul, but his ideas right now that deficits don't really matter is being hit with the reality, that actually yes they do. If he needs evidence for that idea, I'd like to send him on a flight to the Eurozone and talk to their economist right now.

There are two parts of classical Keynsian theory, the first part the politicians understand very well. That is you spend like mad to boost demand in bad times. The other part, is you spend less in good times. The politicians have trouble with that concept.

The new Keynsians believe in using monetary policy as a tool more strongly in this regard. Appointing a person to the fed implies a more activist Fed in issues other than inflation.

Right now, at our current debt load, and increase in inflation will increase our interest payments on our debt. Whether or not the increase in money in the system that is created by this, offsets that in tax collections, all depends on who gets the increased supply of money.

Exactly what is needed. It was kind of disappointing to read some of comments on yahoo under the announcement and they weren't supportive.

Ignorant and full of venom?

Attacked.

I used to collect Keynesian Economist Trading Cards, but I quit a few years back.

If Krugman says this is good news, that's good enough for me.

I took macroeconomics from her about 25 years ago at Haas B-School (Cal).