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147 sats \ 1 reply \ @Undisciplined 2 Sep \ on: Government Debt Pump Is Increasingly Coming To Nothing econ
I remember reading a paper that was attempting to measure different country's Keynesian Multiplier. Keynesian theory only calls for government spending when the multiplier is greater than one: i.e. a government spent dollar more than pays for itself in economic growth.
Not only did the paper find most multipliers to be below one, but America's was negative: i.e. each dollar spent by the government actually reduces the size of the economy.
That was an old paper, but I thought it was pretty amusing.