And So It Goes....................
(With apologies to Kurt Vonnegut) When I started this adventure three years ago, I was seriously annoyed that main stream macro economists denied the existence of the Business Cycle. Ben Bernake, for instance, hates the idea. But if you want to see the truth read my "The Great Recession Conspiracy", or Reinhart and Rogoff's extensive and detailed study of the Business Cycle in their book, "This Time Is Different-Eight Centuries of Financial Folly." You will come away with a clear understanding of the Business Cycle and how it works.
Now my point here is that main stream macro economists absolutely refuse to acknowledge it when reality directly contradicts their cock-a-maime theories so will we always have utterly useless economic policies based on their reality discredited theories and models.
Here is another example. Lame street economists (99.9% of them) insist that their models say that if inflation is kept low and stable, and interest rates are low, robust economic growth will follow.
Measured inflation is now less than 2% and has been for years. Interest rates are as low as they have been in a century. Both conditions for robust growth, according to macro economic models, have been met. Have you seen any economic growth, robust or not, anywhere?????