Over at http://www.willwilkinson.net/flybottle/2009/03/10/this-house-believes-we-are-all-keynesians-now/?disqus_reply=7087846#disqus-claim, Will Wilkinson writes:
Brad DeLong and Luigi Zingales debate it at Economist.com. DeLong’s opening statement too effectively arrays a huge amount of intellectual firepower against him. If he could persuasively cut this team of giants down to size, it would be a killer opening. But his response to the challenge he erects seems to amount to the contention that this squad of bona fide geniuses are really benighted halfwits guilty of an elementary error. That’s pretty hard to swallow...
Exactly so.
I have learned more about asset prices from John Cochrane than anybody else. And yet--I seem to have fallen into some bizarro alternate world in which they are making an elementary mistake that Charlie Kindleberger, Peter Temin, and Barry Eichengreen taught me back in 1980 had not been taken seriously in 50 years.
You know. It is, like, like that Star Trek episode? Where there is a transporter malfunction? And they beam back to the Enterprise but the Enterprise is, like, different because the Federation is, like, evil? And Spock has a beard?
It is like that. Exactly.
It is terrifying.
