Ep. 71 Krugman: Things Are Going to Get Worse, and When They Do, My Opponents Will Manufacture Their Own Reality

29 January 2017     |     Tom Woods     |     15

Trump and his supporters live in a bubble and manufacture their own reality, says Krugman. That’s Krugman talking, we remind you. Krugman is speaking about other people manufacturing their own reality. This from a guy who manufactures whatever reality conforms to the partisan demands of the moment, as we’ve shown in drearily copious detail.

Krugman Column

Things Can Only Get Worse” (January 23, 2017)

Contra Column and Video

Trade Deficits and Fiat Currencies,” by Bob Murphy


The Jason Stapleton Program is another great Monday-to-Friday libertarian podcast, looking at current events from a libertarian perspective. Check it out!

Funny Column

Here’s FiveThirtyEight trying to say the murder rate spike in Chicago is no big whoop.

Podcast Episode Mentioned (Tom Woods Show)

Ep. 481 How Capitalism Can Fix Health Care (Josh Umbehr)

Join Us Aboard the Contra Cruise!

Bob and Tom are hosting the second annual Contra Cruise for fans of Contra Krugman! October 15-22 aboard Royal Caribbean’s Oasis of the Seas, and departing from Port Canaveral. It’s an absolute blast, as you’ll see in the video. Check it out by clicking here.

Need More Episodes?

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

Share this post:Digg thisShare on FacebookGoogle+Share on LinkedInPin on PinterestShare on StumbleUponTweet about this on Twitter
  • tz1

    Tell me that image isn’t Photoshopped. I don’t think so but just to be sure…
    You should put that on the main page masthead.
    But hey, he looks like he is for full drug legalization.
    Is this pic pre- or post- the ascent of the God Emperor Trump?
    The 4th diminutive Reichhhhhah (See Limbaugh)? He always comes up short – he had an interview about a month ago on Democracy Now! – not very reasonable but he’s better than Krugman has been.

  • http://www.economicmanblog.com Roger Barris

    Tom, the figures for the Nordics and Nordic-Americans are the following:

    Danish Americans are 55% richer than Danes
    Swedish Americans are 53% richer than Swedes
    Finnish Americans are 59% richer than Finns
    Norwegian Americans are 3% richer than Norwegians (but this is heavily distorted by the oil in Norway)

    (Page 62 of Debunking Utopia by Nima Sanandaji.)

    Rand Paul said that Trump agreed with him but only on the strategy of “repeal and replace” instead of “repeal and delay.” Paul did not say that Trump agreed with his proposed reforms.

    Finally, Bob’s comment about “teaching economics with only a sprinkling of snark” reminded me of this classic scene from Breaking Bad:


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

      Thanks — those stats are more striking than I thought.

    • freetochoose

      These are “Fake” statistics in the manner of “Fake” news in that they portend to say one thing while not saying anything at all. No one leaves his or her own country to do worse in the new one. I will bet even “illegal” Mexicans are better off than the ones who stayed at home and legal ones are MUCH better off. A better measure is to look at the number of emigrants as a percentage of the population. Look at Syria or Libya and their emigrants. Obviously these countries are very bad in comparison to where the emigrants are going, which also appears to be pretty bad in absolute terms. Another useful statistic would be how much better off the immigrants to this country are in comparison to OUR population. If these Norwegians or Mexicans were 53% better off than the general population of the United States, I don’t think we would have any problem with immigration. My last thought is that to emigrate (depending on how bad it is where you are) requires courage, personal responsibility, and a sense of tolerance and cooperation. These values make one successful wherever you live.

      • http://www.economicmanblog.com Roger Barris

        I am not sure about the point you are trying to make but I am pretty sure that you have completely misunderstood the point of the statistics that I have quoted (and as they are used in the original book).

        The point of the statistics is that Nordic culture has been the major factor in Nordic success, and not the economic policies of the Nordic countries. This is shown by the even greater success of Nordic populations in the USA than in the countries from which their ancestors left, often generations ago. This is the “like to like” comparison which underlies the statistics. Similar statistics exist on such things as educational attainment, unemployment rates and poverty rates, where Nordic Americans are also systematically better off than the people in the “old countries.” Nordic Americans are also systematically better off than Americans in general on these bases (including an income per capital for Nordic Americans that is 29% higher than the average).

        In other words, the statistics are not to make a general point about immigrants, but rather to make a point about the relative importance of Nordic culture versus the policies in Nordic countries in the economic success of these countries. There is nothing “fake” about them when they are properly understood.

  • JimD

    Mostly defending Trump and a rant about Somalia (which I don’t think Krugman mentioned). Weak stuff.

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

      Of course he didn’t mention Somalia. The point was his claim that Trump and his supporters are uniquely unaware of easily verifiable facts. So I gave Somalia as an example of the same phenomenon on the left. Why is that illegitimate? And for heaven’s sake, drop the word “rant.” It’s a stupid word. There was nothing in what I said that could be described as a rant. It was a perfectly valid point.

      “Mostly defending Trump.” That’s what you took from this episode?

      • JimD

        Thanks for the reply.

        I confess I made my comment halfway through the podcast so I was reacting to the first half. Bob’s discussion of the two deficits was well done.

        No problem with you all going after Krugman – that’s contra-Krugman; but I think you spend a lot of time also just hitting the left. For example, I think ignorance of the trends in world poverty is not limited to the left; it’s shared across the spectrum.

        And in homage to Adam Carolla, I’ll stand by “rant”.

        • Bob_Robert

          “I’ll stand by “rant”.”

          It’s a podcast! Without ranting, what’s the point?


  • http://tklist.org TKList

    Things will get worse before they get better, as long as Trump does not start a tariff war. The bubble has to be popped before things get better.

  • oblivionpool

    Yikes, the comments on Bob’s ‘Robert Reich’ video are cancer. So many dislikes.

  • Ed

    I’m surprised neither of you addressed Krugman’s claim in his first paragraph that Trump had “a temper tantrum, railing against accurate reports of small crowds at his inauguration.” Clicking on “temper tantrum” sends one to a NYT article with the now famous early morning photo of the inauguration, before the crowds arrived. But CNN has released a zoomable gigapixel image showing a solid sea of people all the way to the Washington Monument:


    And yet the liberals are still sticking to their narrative that Trump saw an empty Washington Mall, went mad, and hallucinated millions of people.

    • Bob_Robert

      If Progressives could be convinced by logic and reason, they wouldn’t be Progressives.

  • Brian Mitchell

    Two great social media mysteries to me. 1)The Truth about Robert Reich has more views than Stoke the fear. 2) Followers of Woods and Murphy combined on Twitter is roughly equal to Carrot Top’s

  • Brett Swanner

    Tom and Bob – great podcast! I have been thinking Krugman is a dolt for years and I somehow stumble upon this podcast where you guys confirm my intuition (on a weekly basis no less). I’d love to see the actual statistics from this particular podcast where you mention the reduction in worldwide extreme poverty, world hunger, literacy rate, etc. Could you add or forward a link to this data?

    Keep up the good work!