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Libertarians frustrated by what they view as the lack of engagement by arch-Keynesian Paul Krugman with their arguments have come up with a clever ploy: they're promising to donate $100,000 to the Fresh Food Program of FoodBankNYC.org if Krugman will debate one of their stars.

By PAUL KRUGMAN Published: June 28, 2012 

A few weeks ago, a journalist devoted a substantial part of a profile of yours truly to my failure to pay due attention to the "Austrian theory" of the business cycle-a theory that I regard as being about as worthy of serious study as the phlogiston theory

Bruce Bartlett says it was a failure to focus. Paul Krugman says it was a failure of nerve. Nancy Pelosi says it was the economy's failure. Barack Obama says it was his own failure - to explain that he was, in fact, focused on the economy.

Paul Krugman says something about Obama's statement that there would be no widespread investigation of Bush administration abuses that should be common sense, but sadly isn't, and so badly needs to be said. Found on Furl.

Apologists for rising inequality often argue that since most Americans' income has risen despite rising inequality, there's no reason to complain about inequality other than envy. So it's worth remembering that we used to expect economic growth to deliver large increases in real income, not just a bit of a rise that's accomplished in large part through longer working hours; and that a major reason so many have seen such small gains is that a large part of growth has been siphoned off to the very high end.

By next Wednesday, the so-called supercommittee, a bipartisan group of legislators, is supposed to reach an agreement on how to reduce future deficits. Barring an evil miracle - I'll explain the evil part later - the committee will fail to meet that deadline. If this news surprises you, you haven't been paying attention. If it depresses you, cheer up: In this case, failure is good.

The Beltway crowd gets fooled again, this time by Representative Paul Ryan's plan for a major overhaul of federal spending and taxes.

Here's hoping that President Obama goes big next week with new proposals for boosting the economy.

From the man in the gray flannel suit to the man in the expensive Armani suit.

More than three years after we entered the worst economic slump since the 1930s, a strange and disturbing thing has happened to our political discourse: Washington has lost interest in the unemployed.

Watching our system deal with the debt ceiling crisis - a wholly self-inflicted crisis, which may nonetheless have disastrous consequences - it's increasingly obvious that what we're looking at is the destructive influence of a cult that has really poisoned our political system. And no, I don't mean the fanaticism of the right. Well, OK, that too. But my feeling about those people is that they are what they are; you might as well denounce wolves for being carnivores. Crazy is what they do and what they are. No, the cult that I see as reflecting a true moral failure is the cult of balance, of centrism.

More blasphemy. This time, evidence of a relative absence of wage mobility in the present day US and the rise of a class hierarchy.

A few years back Representative Barney Frank coined an apt phrase for many of his colleagues: weaponized Keynesians, defined as those who believe "that the government does not create jobs when it funds the building of bridges or important research or retrains workers, but when it builds airplanes that are never going to be used in combat, that is of course economic salvation."

There were alternatives to the economic doctrine that championed bank bailouts and mass suffering from the public. Look at Iceland.