Quote Of The Day - Paul Krugman

"We currently have a deeply depressed economy. We will almost certainly continue to have a depressed economy all through next year. And we will probably have a depressed economy through 2013 as well, if not beyond. The worst thing you can do in these circumstances is slash government spending, since that will depress the economy even further. Pay no attention to those who invoke the confidence fairy, claiming that tough action on the budget will reassure businesses and consumers, leading them to spend more. It doesn’t work that way, a fact confirmed by many studies of the historical record. Indeed, slashing spending while the economy is depressed won’t even help the budget situation much, and might well make it worse." - Nobel Prize-winning economist Paul Krugman, writing for the New York Times.