Last evening, David Leonhardt of The New York Times gave an excellent presentation at the Rockefeller Center, "After the Recession: Can the Obama Administration Fix the Economy?" As you will not be surprised to learn, my favorite part included this quote (from the campus paper):
While consumer spending has increased to unsustainable levels, investment has stagnated, with government spending on investment declining from 7 percent of GDP to 4 percent of GDP, Leonhardt said.
The new stimulus bill provides the government with the perfect opportunity to begin investing in America again, he said.
“In a way, it’s the fiscally conservative thing to do,” Leonhardt said. “If we’re going to spend all of this money, shouldn’t we spend it on things that will help us down the road?”
Yes, it is the fiscally conservative thing to do. Check here in the coming week to see if the video of his whole talk is posted.