Imagine a proposal to fix the economy by refighting WWII. Not in a real sense, but by acting like we are. First, we retool nearly all manufacturing in America to build military weapons -- tanks, planes, rifles, munitions, parachutes, military uniforms, ships, etc. Then we take all of this stuff and we ship it over to Europe and the South Pacific, where we just blow most of it up. At home, we strangle commerce at the retail level by rationing everything. Fabrics, food, tires, gas, pots and pans, radios -- everything. Industrialists are doing OK, but no one else is getting a whole lot of business. Few people are taking out loans, because you really can't buy anything, and even savings accounts don't grow, because Americans are buying War Bonds instead of putting money into banks.
When you put it that way it, it looks really stupid, doesn't it? Which explains why Republicans are arguing that only tax cuts can save us. What they say worked to end the Great Depression would be disastrous in our recession -- and they know it.
But that's not the problem that Shlaes is writing about in her latest column. After writing a book putting across a crazy argument, Shlaes complains that mean liberal bloggers are calling Republicans liars and nutjobs... [CLICK TO READ FULL POST]
