I agree that both a) and b) would have a similar effect in that the widget manufacturer puts to work resources (labor, machines) which would otherwise not be utilized. I wouldn't recommend either a) or b) because there are many more efficient ways to stimulate the economy. One that my father, who happens to be an economist, has promoted is a temporary tax credit for new hires. More detail. If there are some roads you were going to build a couple years from now, speeding up that investment is probably a good idea in an economic downturn. I'm not defending legislation that actually got passed... I try not to pay too much attention.

I agree that both a) and b) would have a similar effect in that the widget manufacturer puts to work resources (labor, machines) which would otherwise not be utilized. I wouldn't recommend either a) or b)

Then why did you say this, in the very comment I was replying to?

Therefore, the economy would be helped if your choice increases the total amount of money changing hands,

That's the same as recommending a)!

because there are many more efficient ways to stimulate the economy

It doesn't matter that you can think of better ways; the problem is wi... (read more)

Open Thread June 2010, Part 3

by Kevin 1 min read14th Jun 2010627 comments

6


This thread is for the discussion of Less Wrong topics that have not appeared in recent posts. If a discussion gets unwieldy, celebrate by turning it into a top-level post.

The thrilling conclusion of what is likely to be an inaccurately named trilogy of June Open Threads.