The Case For Larger Deficits

Brad DeLong's pitch for another stimulus:

To gain $150 billion of increased production and incomes this year we incur a $70 million a year cost going forward...That is not quite a free lunch—they take away my union card as an economist if I start claiming that free lunches exist. But it is certainly a value meal. We are getting more income and employment now—when we really need it—in return for sacrificing only a tiny bit of production each year in the future, when we believe that we will be r...