Krugman misses a step in “Democratic Booms”
But does this say anything about the presidents in question? Both the Reagan expansion and the Clinton expansion had much more to do with Federal Reserve policy than anything coming from the White House, and Obama’s macroeconomic policy has been hamstrung by GOP opposition almost from the beginning. There are presidents, and sometimes there are job booms when they are president, but the booms aren’t their doing.
If the Reagan and Clinton expansions had much more to do with Volcker and Greenspan, why not conclude that the dismal Obama economy has much more to do with Bernanke and Yellen than with “Obama´s macroeconomic policy being hamstrung by the GOP opposition”?
Update: Krugman´s “inconsistency” derives from the fact that he believes in a ‘liquidity trap’ which makes monetary policy impotent. So it would be up to Obama and fiscal policy. But that´s “hamstrung by GOP opposition”