We have updated our Terms of Use.
Please read our new Privacy Statement before continuing.

Hardly stimulating

23 August 2011 By Martin Hutchinson

Because it’s included at cost, government spending increases GDP by definition. But as Washington wrote more checks in 2007-11, private sector output slowed down, suggesting a possible crowding-out effect. When the U.S. economy is sick, bigger government looks like bad medicine.

This content is for Subscribers only

 

Email a friend

Please complete the form below.

Required fields *

*
*
*

(Separate multiple email addresses with commas)