Dear Monetary Policy Observer,
Nobel Economics laureate Paul Krugman responded, perhaps shrilly, to APIA senior economics advisor Ralph Benko's last week's Forbes.com column in his NY Times Blog, entitled Fantasies of Personal Destruction:
A correspondent directs me to a piece in Forbes about yours truly that is both funny and scary.
Yep, scurrying away with my tail between my legs, I am, disgraced for policy views shared only by crazy people like the IMF’s chief economist (pdf).
One thing I’ve noticed, though, is how many people on the right are drawn to power fantasies in which liberals aren’t just proved wrong and driven from office, but personally destroyed.
To which Benko responded, yesterday, in part:
Put aside the demonstrable fact of Prof. Krugman’s consistently sloppy conflation of gold investors and gold standard proponents. Put aside his failure to engage with the arguments of the many gold standard proponents not predicting imminent virulent inflation. (Such as this writer)
Eruditely ridiculing gold proponents as, well, full of s*** is clever. It likely will tickle those readers who find monkeys flinging poo at each other hilarious. Ridicule is much easier, and cheaper, than grappling with scholarly analyses such as that from the Bank of England which provided, in 2011, Financial Stability Paper No. 13, a genuinely interesting critique of the real world performance of fiduciary currency.
We hope you find this exchange of interest.