Nobel Prize-winning economist Paul Krugman on Monday set his sights on Trump economic adviser Larry Kudlow, who himself is not actually an economist, for making decades’ worth of terrible predictions.
Writing on Twitter, Krugman concedes that making predictions is a difficult business and he admits to making his own bad predictions in the past.
However, he then explains that Kudlow is unique because he’s been making the same false prediction for decades — namely, about tax cuts for the ultra-rich producing economic miracles.
“Kudlow, like his master, refuses to acknowledge or learn from mistakes,” Krugman writes. “The quintessential Kudlowism involved Bill Clinton’s tax hike: Kudlow predicted disaster. Then, when the economy boomed, he said it was a delayed effect of the 1981 (!) Reagan tax cut.”
Krugman then lists other times tax cuts failed to secure lasting economic prosperity despite Kudlow’s predictions, such as the Bush tax cuts that were followed by the 2008 financial crisis, or the Kansas tax cut experiment that drained the government of resources to such an extent that even some Republicans in the state voted to raise taxes to produce additional revenue.
“The point is that nothing — not the Bush financial crisis, not the Kansas disaster, not the disappointment of the Trump tax cut — ever leads him to change his faith in the miracle of tax cuts for the rich,” he concludes.
Predictions are hard, especially about the future. The question is what you do when you make a bad prediction (which everyone does sometimes). Do you admit the mistake, ask why you made it, and learn? 1/ https://t.co/0mkX0p6kIy
— Paul Krugman (@paulkrugman) August 19, 2019
The point is that nothing — not the Bush financial crisis, not the Kansas disaster, not the disappointment of the Trump tax cut — ever leads him to change his faith in the miracle of tax cuts for the rich 3/
— Paul Krugman (@paulkrugman) August 19, 2019ADVERTISEMENT