In response to:

Don’t Trust Economists, Part II

Grant75 Wrote: Jan 28, 2013 12:18 PM
We laugh at the Laffer Curve at our peril.
Michael3783 Wrote: Jan 28, 2013 4:37 PM
Face it, the Laffer Curve is counter-intuitive that reducing marginal tax rates will actually increase tax revenues. But Reagan, JFK and Mellon all saw this, and it was borne out in experience. But on the flip side, if experience in the 20's, 60's, 80's and even 2000's demonstrated that faster growth follows a marginal rate reduction, what is the historical basis for increasing rates (and deficits) as a way to accelerate growth? Clinton is the closest, but that growth followed the GOP takeover in '94, assuring spending (deficit) restraint.
geotay Wrote: Jan 28, 2013 2:46 PM
Why would we laugh at something so obviously true, and so easy to see. If we're not liberals that don't like its truth, that is...

Back in 2010, I shared a remarkable graph comparing the predictions of economists to what actually happened.

Not surprisingly, the two lines don’t exactly overlap, which explains the old joke that economists have correctly predicted nine of the last five recessions.

It’s not that economists are totally useless. It’s just that they don’t do a very good job when they venture into the filed of macroeconomics, as

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