DIGG THIS "Economics of Contempt" and to some extent Per Paterson have raised some questions and challenges to my blog, "Krugman’s Prescription for Disaster." I will try to answer them as best I can. "Economics of Contempt" writes: the logical implication of Krugman’s argument is that the New Deal would have made the Great Depression at least somewhat shorter than it would have been had we followed the old approach for curing recessions. How do you know that the old anti-recession policy would have made the Great Depression shorter than it actually was? How do you know that in the … Continue reading An Answer to Critics: ‘Krugman’s Prescription for Disaster’