| From Csmonitor.com: While Krugman casts others as being "worst economist in the world", he does his best to try to earn that title for himself. "Higher commodity prices will hurt the recovery only if they rise in real terms. And they’ll only rise in real terms if QE succeeds in increasing real demand. And this will happen only if, yes, QE2 is successful in helping economic recovery.
What this official is saying is a version of the classic freshman mistake: an increase in demand leads to higher prices, and higher prices make people buy less, so an increase in demand leads to lower sales. Amazing stuff, and further evidence of the Dark Age of economics now descending."..........................................Full Article: Source
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