Consensus Quote by Thomas B. Edsall
“I think, and there's a pretty strong economic consensus on this, that at that juncture you should spend more, even though it may sound illogical to some people when the revenues are down, but spend more to juice things up and then do the cuts later once you're back, your economy is back in gear and running.”
About This Quote
During economic downturns, counter‑cyclical fiscal policy suggests increasing spending to stimulate demand, then cutting later when growth returns.
In simple terms: Spend more in a recession, cut later when the economy recovers.
Key Takeaway
Use stimulus now, plan for future austerity.
Themes
economics
fiscal policy
recession
stimulus
Mood
pragmatic
concerned
Type
economic
policy
When to use this quote
- government budgeting
- business investment
- consumer confidence
- public services
- tax policy
Key Concepts
counter‑cyclical spending
multiplier effect
budget balancing
political risk
Questions to Reflect On
- How much should you spend before risking inflation?
- When is it safe to cut back?
A Different Perspective
Spending may worsen debt if growth stalls.
