Peter Beinart in Conversation with Paul Krugman

Summary

Professor and journalist Peter Beinart talks with Paul Krugman, New York Times columnist and a Nobel Laureate in Economics.




Peter Beinart in Conversation with Paul Krugman
The Graduate Center, CUNY

fiscal policy
Measures employed by governments to stabilize the economy, specifically by adjusting the levels and allocations of taxes and government expenditures. When the economy is sluggish, the government may cut taxes, leaving taxpayers with extra cash to spend and thereby increasing levels of consumption. An increase in public-works spending may likewise pump cash into the economy, having an expansionary effect. Conversely, a decrease in government spending or an increase in taxes tends to cause the economy to contract. Fiscal policy is often used in tandem with monetary policy. Until the 1930s, fiscal policy aimed at maintaining a balanced budget; since then it has been used “countercyclically,” as recommended by John Maynard Keynes, to offset the cycle of expansion and contraction in the economy. Fiscal policy is more effective at stimulating a flagging economy than at cooling an inflationary one, partly because spending cuts and tax increases are unpopular and partly because of the work of economic stabilizers. See also business cycle.



Peter Beinart

Peter Beinart is an American journalist and Associate Professor of Journalism and Political Science at the City University of New York. He is a Senior Fellow at the New America Foundation and Senior Political Writer for The Daily Beast website. Beinart worked at The New Republic until 2006, for much of the time writing The New Republic's signature "TRB" column, which was reprinted in the New York Post and other major American newspapers.

From 2007 to 2009, Beinart was a Senior Fellow at the Council on Foreign Relations. Beinart is the author of The Good Fight: Why Liberals, and Only Liberals, Can Win the War on Terror and Make America Great Again, and The Icarus Syndrome: A History of American Hubris.

Paul Krugman

Paul Krugman is Professor of Economics and International Affairs at the Woodrow Wilson School of Public and International Affairs, at Princeton University, and an Op-Ed columnist for the Times. His numerous books include "The Great Unraveling," "The Conscience of a Liberal," and "The Return of Depression Economics," an updated edition of which was published in 2009. For his contributions to New Trade Theory, he received the 2008 Nobel Memorial Prize in Economic Sciences.