Ludger Woessman: Catch Me If You Can: Education and Catch-Up in the Industrial Revolution
Kudos to the Financial Times Editorial Board, Which Gets the Obama Budget Right

Fiscal 2011 vs Fiscal 2010

Tightening (change from 2010 to 2011):

  • 1.1% of GDP fall indiscretionary, split evenly between defense and non-defense;

  • 0.7% of GDP fall in mandatory;

  • receipts up 1.5%.

  • net interest up 0.8%

Net impact: 2.5% of GDP worth of fiscal tightening,

That is big, very big for a 9.5% unemoyment economy.