Skidelsky: The Scarecrow of National Debt

The video discusses an essay by Lord Skidelsky on Keynesian economics, focusing on government spending and its impact on private consumption. It debates national debt, infrastructure projects, and the concerns over corporate and government debt. The discussion shifts to fiscal policy as a tool for economic growth, given the limitations of monetary policy. Finally, it anticipates Chair Yellen's upcoming announcements, suggesting no major changes are expected.

What is the main argument presented by Lord Skidelsky in his essay?

• Government spending should be avoided at all costs.

• Private consumption is unaffected by government spending.

• Additional government spending can generate extra income.

• Government spending always reduces private consumption.

What is a key concern when discussing national debt and infrastructure spending?

• Focusing solely on corporate debt.

• Avoiding any form of debt.

• Selecting the right projects.

• Ensuring the projects are profitable.

What is Howard Ward more concerned about compared to corporate debt?

• The rise in interest rates.

• Short-term liabilities.

• Off balance sheet liabilities on entitlements.

• The impact of inflation.

What is the expected shift in economic policy due to the limitations of monetary policy?

• A shift towards fiscal policy expansion.

• An increase in interest rates.

• A reduction in government spending.

• A focus on reducing taxes.

What is Chair Yellen expected to discuss in her upcoming announcement?

• A major change in interest rates.

• Her economic policy toolbox.

• A new tax reform.

• A reduction in government debt.