DBK: I am a little unsure whether you are disagreeing with me or supporting me. I will take it as support — amplification of this key passage in my post:

“ In practice, that means that the austerity measures required during a recession would be much more likely to take the form of spending cuts, which could be passed by majority votes, rather than tax increases. Such a procedure could set up a ratchet effect that would gradually diminish the ability of the federal government to meet its essential obligations.”

Written by

Economist, Senior Fellow at Niskanen Center, Yale Ph.D. Interests include environment, health care policy, social safety net, economic freedom.

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store