143 Visitor Messages

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    Ok then, perhaps a back and forth would be more beneficial than an open debate at first. My question is directly pointed the spending multiplier for direct spending vs tax cuts. Here's what I understand (and can somewhat agree with on the surface):

    Direct spending multiplier = MPS/1 where MPS=Marginal propensity to save (MPC/1x100)

    This is the part I DON'T get:

    Tax cut spending multiplier = MPS/1 -1

    I asked my teacher why the theoretical tax cut multiplier is one less than the direct spending multiplier, and he said it was because it's one step removed out of the spending cycle, to which I replied, "Huh?"

    What magical computation is used in the formulation that says money being taken out of the economy (through tax) and then being put back into the economy (through spending) is putting more into the economy than it's taking out??? That I just don't get.
  2. View Conversation
    I remember you saying you have a degree in Economics. Well, as it happens, I'm taking a 200-level Econ class right now, and my professor is, how do I put it kindly.... retarded. Do you think you could explain a specific question about the Keynesian model pertaining to the spending multiplier concept for me?

    Additionally, would you like to have this discussion in the "Shooting the breeze" forum? I ask because I'd ideally like it opened for multiple responses. I realize this will probably get derailed as soon as it begins from some political hackneys from both sides, but with all of our text book learnin' being slung about, I think it's a good opportunity to show some people up. And you know me - I always love to pick a fight!
  3. View Conversation
    Letting you know that you have yet to reply to me in Herm's big thread. Hopefully we have more interesting ground to debate about job on now.
  4. View Conversation
    "I advocate extending the marriage laws to gay couples as a further enhancement of personal liberty in america." I would offer that perhaps the enhancement of personal liberty would be to, rather than add more laws, repeal the laws which create such restrictions in the first place... i.e. get state the heck out of private matters such as "marriage." Like... removing the legal benefits of being involved in a "marraige." In that way, whoever wants to recognize marriage or not recognize marriage is free to do so without infringing upon anyone else.

    Just thinking out loud.
  5. View Conversation
    I always make sure I hit "View Conversation..." So I can see all of both of our replies and not have to worry about posting in the wrong place. Because seriously, I do the same thing, even today. Don't feel bad about that... AT ALL! I'm just giving you hell cause you're the noob. Muahahaha
  6. View Conversation
    Dude, you replied on your own profile!! Hahahahahahaha
  7. I'm not much of a blogger I'm afraid but I do have one
  8. View Conversation
    Scratch that, I found it. Wasn't hard. You run WordPress but don't have a "hey, sign up here option..." Such a shame!!
  9. View Conversation
    But....... you have a blog???
  10. View Conversation
    I will commence in saying "what the frell??" to everything you say...
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About Sigfried

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About Sigfried
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I am a lifelong gamer, former software engineer, currently a world traveler and blog writer.

I love to debate and share ideas. I am married, have two cats, and try to cultivate wisdom.

I am agnostic/atheist and take a very subjective and humanist view of ethics and morality.
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Moderate with libertarian flourishes.

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