Krugman:
You can make a pretty good case that just employing a lot of people directly would be a lot more cost-effective; the WPA and CCC cost surprisingly little given the number of people put to work. Think of it as the stimulus equivalent of getting the middlemen out of the student loan program.I guess I'm more of a Keynesian (lookit me, dropping economists names like mad rhymes, bitches!) I've written many times here I'm a big WPA guy. And I loves me some titties also, btw. But obviously the government can only create jobs if it involves defense, or handing out money to millionaires who have gambled other people's money away. Of course.
So why aren’t we doing this? Politics, of course: government is the problem, not the solution, even when it is, you know, the solution, and cheaper than running things through the private sector.
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