Ep. 127 Krugman Is Half Right: He Says Half the Political Class Are Liars

24 February 2018     |     Tom Woods     |     13

Krugman insists that Republicans are unique in refusing to admit to making mistakes, lying about their intentions, etc. Of course, these are characteristics of the entire regime, but Krugman, who is deeply tied to that regime, can never admit this. Bob and Tom, however, are subject to no such constraints.

Krugman Column

The Content of the G.O.P.’s Character” (February 18, 2018)

Contra Columns

Left: Planet Earth Is In Jeopardy With Trump’s EPA Pick! Also… Hitler!,” by Larry O’Connor
Why Clinton’s Iraq Apology Still Isn’t Enough,” by Scott Beauchamp
The Inflation Imputation,” by Cliff Asness

Book Mentioned

Chaos Theory: Two Essays on Market Anarchy

Need More Episodes?

Tom and Bob have their own podcasts! Check out the Tom Woods Show and the Lara-Murphy Report.

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  • https://www.facebook.com/david.rogers.hunt David_Rogers_Hunt
  • Robert

    I hope that the secret dossier is going to be available as a physical release (hardcover even better) and not just an e-book. If this dossier is what it obviously is, it’s a great idea!

  • http://2vnews.com 2VNews

    Q: What is a polished politician?
    A: A professional liar.

    • https://www.facebook.com/david.rogers.hunt David_Rogers_Hunt

      When politicians say ‘I’m in politics,’ it may or may not be possible to trust them, but when they say, ‘I’m in public service,’ you know you should flee.
      ~ Albert Jay Nock

      You can’t trust politicians. It doesn’t matter who makes a political speech. It’s all lies – and it applies to any rock star who wants to make a political speech as well.
      ~ Bob Geldof

      In order to become the master, the politician poses as the servant.
      ~ Charles de Gaulle

      Politicians, like bombers, seldom see their victims.
      ~ Donald Boudreaux

      What this country needs are more unemployed politicians.
      ~ Edward Langley

      The politician attempts to remedy the evil by increasing the very thing that caused the evil in the first place: legal plunder.
      ~ Frederic Bastiat

      What is any political campaign save a concerted effort to turn out a set of politicians who are admittedly bad and put in a set who are thought to be better. The former assumption, I believe is always sound; the latter is just as certainly false. For if experience teaches us anything at all it teaches us this: that a good politician, under democracy, is quite as unthinkable as an honest burglar.
      ~ H.L. Mencken

      It is [a politician’s] business to get and hold his job at all costs. If he can hold it by lying, he will hold it by lying; if lying peters out, he will try to hold it by embracing new truths. His ear is ever close to the ground.
      ~ H.L. Mencken

      The main thing that every political campaign in the United States demonstrates is that the politicians of all parties, despite their superficial enmities, are really members of one great brotherhood. Their principal, and indeed their sole, object is to collar public office, with all the privileges and profits that go therewith. They achieve this collaring by buying votes with other people’s money.
      ~ H.L. Mencken

      No professional politician is ever actually in favor of public economy. It is his implacable enemy, and he knows it. All professional politicians are dedicated wholeheartedly to waste and corruption. They are the enemies of every decent man.
      ~ H.L. Mencken

      A professional politician is a professionally dishonorable man. In order to get anywhere near high office he has to make so many compromises and submit to so many humiliations that he becomes indistinguishable from a streetwalker.
      ~ H.L. Mencken

      Politicians nowadays treat Americans like medical orderlies treat Alzheimer’s patients, telling them anything that will keep them subdued. It doesn’t matter what untruths the people are fed because they will not long remember. But in politics, forgotten falsehoods almost guarantee new treachery.
      ~ James Bovard

      Politicians never accuse you of ‘greed’ for wanting other people’s money – only for wanting to keep your own money.
      ~ Joseph Sobran

      Politicians are always interested in people. Not that this is always a virtue. Fleas are interested in dogs.
      ~ P.J. O’Rourke

      There is no virtue in compulsory government charity, and there is no virtue in advocating it. A politician who portrays himself as ‘caring’ and ‘sensitive’ because he wants to expand the government’s charitable programs is merely saying that he’s willing to try to do good with other people’s money. Well, who isn’t? And a voter who takes pride in supporting such programs is telling us that he’ll do good with his own money – if a gun is held to his head.
      ~ P.J. O’Rourke

      Monetary policy today is guided by little more than government fiat ~ by the calculations, often mistaken economic theories, and whims of central bankers or, even worse, politicians. Under such a regime, inflation of three or four percent annually has come to be viewed as a stellar monetary performance. However, under a more sound monetary system ~ i.e., a gold standard ~ such increases in the general price level would be seen as wildly inflationary.
      ~ Raymond J. Keating

      Remember, politicians get votes by promising everything to everyone, always at the expense of some other invisible taxpayers.
      ~ Ron Paul

      If you have been voting for politicians who promise to give you goodies at someone else’s expense, then you have no right to complain when they take your money and give it to someone else, including themselves.
      ~ Thomas Sowell

      People who refuse to accept unpleasant truths have no right to complain about politicians who lie to them. What other kind of candidates would such people elect?
      ~ Thomas Sowell

  • http://2vnews.com 2VNews

    One, prices should have been falling but instead are rising, that is greater price inflation than the CPI is showing. Two, some of the created capital is being hoarded by banks because of higher reserve requirements. Three, banks are making the safest use of their capital by buying risk free treasury bonds instead of risky loans. Four, commodities and the stock market are inflated. Five, businesses are prudently hoarding capital as protection from another credit market freeze like the one that happened in 2008, they would be irresponsible to do otherwise. The next crash is just around the corner. We are now transitioning from thinning ice to thin ice.

  • JimD

    Funny how the podcast turned into a rant against the Southern Poverty Law Center and Maxine Waters.

  • NoMoreFed

    There was some excellent banter in this one.

    In regards to the incorrect predictions of high price inflation, I think it is important to note that this doesn’t invalidate libertarianism or Austrian economics in any way. One of the main points of Austrian school economics is that humans act, and we therefore cannot predict anything with absolute certainty, especially in regards to timing.

    Libertarians should probably be clear when making predictions of a stock market crash or high price inflation or anything else that it is just a good guess based on the facts we know. But it does not invalidate our theories if we are wrong. Anyway, the main problem with monetary inflation (aside from stealing) is that it misallocates resources. Higher consumer price inflation may or may not be one symptom of this problem.

    • Robert

      The point about misallocation of resources (i.e. housing/stock market bubbles) is a good one. But, a lot of people are interested in free market/Austrian/libertarian ideas as more of a guiding interpretation of reality, rather than as a doctrinaire principle. (Although I live in fear that Tom would classify me as an “unsystematic thinker.”)

      If a Keynesian or even a moderate were to say, “it does not invalidate our theories if we are wrong,” I think we’d find that laughable. Austrian economics had better line up with what we see in reality, and not just some non-falsifiable axioms.

      • Tyler Folger

        That’s not how economics work. We wouldn’t find it laughable if a Keynesian were to say that wrong predictions don’t invalidate their theory, because it’s true. Consistent wrong predictions give us good grounds to re-examine our economic theory (and we Austrians have plenty of theoretical evidence to show that Keynesianism is wrong), but they can never be a refutation.

        Like any field of empirical study, applied economics suffers from the “garbage in – garbage out” rule. Complex economic analysis often necessitates the use of data that is old, from unreliable sources (like government), or simply not available. And the more nuanced the analysis, the more specific the relevant data set becomes. Lacking such specific data, economists have to engage in some methodologically dubious modes of data correction to try and isolate variables.

        Furthermore, because economic data is so interdependent, it takes an unanticipated change in only one of a myriad of economic factors to completely throw off a projection. And this problem is worsened by activist governments and regime uncertainty. An economist, for example, might rightly predict increased unemployment to follow a minimum wage hike in North Dakota only to find his prediction completely embarrassed by an unrelated industrial boom in oil extraction, which has an unexpected and jarring effect on the demand for workers. That same uncertainty and interdependency of economic phenomenon also allows economic sophists to always find some escape hatch to extricate themselves from such embarrassments. They can blame the failure of socialism on bad weather, war pressures, falling oil prices, or any number of other causes. But Neither these forces of uncertainty, nor the previously mentioned statistical problems can be an indictment of the economic framework.

  • Don Lingerfelt

    Clinton said that he mistakenly raised taxes too much

  • destinal

    Are you in a big unfurnished room now Tom? You seem to have more echo now than you used to.

    • http://www.TomWoods.com Tom Woods

      It’s a furnished office, but the floor is hardwood. I am desperately trying to avoid having to put hideous acoustical panels on the walls. I want to reserve my wall space for things I want to hang there. I could buy some rugs, but matching rugs with a room is beyond my abilities. Any suggestions?

      • Cyrus Eckenberg

        I know some podcasters have had luck with a curtain that they draw out/hang only when they want to record. Then they only endure the ugly a fraction of the time.