Also, I'm tired of your disingenuous assertions
Then stop doing the same cheap tactic over and over again. Because I'm going to keep pointing it out and doing nothing else. Expending actual thought responding to your tired old guilt by association which you do at each and every opportunity is not an activity I am interested in.
Apparently pointing out the obvious consequences of Krugmanite macro (as well as the ludicrous logical leaps required to accept it as "effective" at all) is now "guilt by association". I'd advise you educate yourself on the meaning of that, since I do not think it means what you think it means.
I admit to not being terribly serious right now, but I seem to recall the last time I offered a serious analysis of Keynesian macro you threw a blog at me and called me names, leading to our posts being deleted.
To be fair, you have been doing the exact same thing, comparing German monetary policy to intelligent design and thinking any undergrade student could easily solve the Euro crisis by inflicting a massive inflation over the whole Eurozone, so you can't complain too much.
I'm sorry but there is an underlying logic behind what I say, I don't just take any random bad thing that happens in Germany and lump it together. And I'm not talking about a massive headline inflation. The thing is that the Eurozone has been underneath it's target for the duration of the crisis. This is utter stupidity and completely repeating the mistakes of the great depression. These are mistakes that would have been considered barbarically ignorant 60 years ago.
Funny, the Great Depression was among the first to be preceded by artificially low interest rates, as well as the first to receive a "response" in the form of massive public works projects. It's almost as though there was some form of correlation between these, or between the relatively quick end to economic troubles in the US in the previous decade and the lack of vigorous activity from the Fed. It's great to hear that the brilliant men who created stagflation and the 1970s oil crisis would disapprove of German monetary policy, though.
Also, no opinion on gift bearing Greeks, so I'm just gonna avoid that topic altogether.
In real terms, wages would have gone down by the same amount. Economics isn't affected by notation. What you're saying is that they should inflate away their debt.
No, Greece should reach a competitive trade balance in the Euro. It would help the debt situation (though I'd have to do a fair bit of math to show why) (actually it would improve real interest rates because right now the risk premium on greek debt is so high and it would come down) but that's not the primary purpose. If Germany has 2% inflation and Greece has 1% inflation it will take a long time for the trade imbalance to correct. If Germany has 5% inflation and Greece has 1% inflation, the imbalance is getting corrected 4 times faster.
Spoken like a true mercantalist. Also, seeing as how the Germans and Greeks share a common currency, trying to generate five times the inflation in one country but not the other would be a bit like trying to inflate the left half of a balloon, unless you've discovered a miraculous method of devaluing the same currency by different amounts in different areas (besides price controls, but even Keynesians aren't dumb enough to institute price controls, at least I hope they aren't).
I'll be brief. On the first point, wrong. On the second point, wrong.
Pretty please learn the economics.
I like how your every response is some variation of "I tire of your arguments, for there are
economists that disagree with you! Look upon their blogs, ye mighty, and despair!"
I'll happily admit there are plenty of dumb economists that advocate for dumb policies, but the fact that they're economists doesn't make their dumb ideas any less dumb. Also, you're severely overstating the unity of the economics profession, as there are many
exotic and exciting varieties of dumb, ranging from the Monetarists and their dopey Efficient Markets Hypothesis to Post Keynesians that deny the existence/relevance of such basic concepts as diminishing returns. I'd imagine you could find a reasonable number of economists that advocate for just about anything if you look around, so in this case you have to actually provide evidence for your statements rather than hiding behind credentials.