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We’re getting job creation in healthcare and educational services. We’ve been getting that all along. It’s demographically driven, it’s funded by the government, and that’s held up.
Our biggest challenge is to eliminate the popular perception that economists don’t have anything useful to say.
Potential home buyers have a two-step decision process. First, they determine whether they can afford to make a purchase – does their income safely cover their mortgage payment? Then they determine whether owning is a better financial choice than renting – are the costs of owning a home lower than the cost of renting it?
I’m a registered Democrat.
My policy is I will help any policymaker who asks, whether they be a Republican or a Democrat.
Too-easy credit and millions of bad loans made during the U.S. housing bubble paved the way for the financial calamity and Great Recession that followed. Today, by contrast, credit is too tight. Mortgage loans are particularly hard to get, creating a problem for the housing market and the broader economy.
In a normal time, I don’t think economic policy makes a large difference one way or another. But in times of crisis it makes all the difference in the world.
Past experience with fiscal austerity at home and overseas strongly suggests that it is best for the economy’s long-run performance to restrain government spending rather than raise taxes.
The most important point is, in a time of crisis, there is no way out but for the government to be bold and aggressive.
The discussion in Washington has changed dramatically. I mean, it’s no longer a question of should we address entitlements – it’s no longer a question of do we need to reduce spending in the future.