Against The Do Nothing Option

by Patrick Appel

Bruce Bartlett addresses stimulus opponents:

Some conservatives who opposed the stimulus in February now concede that it helped. On Aug. 7, Douglas Holtz-Eakin, John McCain's chief economic advisor during last year's campaign, told reporters, "no one would argue that the stimulus has done nothing." On Aug. 10, Niall Ferguson of the Hoover Institution said the stimulus "has clearly made a significant contribution to stabilizing the U.S. economy." I think conservative economists need to get together and come up with a consensus opinion on what should have been done about the recession because sooner or later there's going to be one on a Republican's watch. When that happens, I rather suspect that the do-nothing option will not be on the table.

Tyler Cowen tackles bailout opponents.