tag:blogger.com,1999:blog-4664190527081896928.post4297042391347972637..comments2023-05-18T04:18:12.048-07:00Comments on theory 2 life: And so it begins...CWhttp://www.blogger.com/profile/05659688654057889460noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-4664190527081896928.post-71336067060478810852009-02-01T17:33:00.000-08:002009-02-01T17:33:00.000-08:00Thanks!And now Paul Krugman has come down on the o...Thanks!<BR/><BR/>And now Paul Krugman has come down on the other side. He thinks protectionism will increase the fiscal multiplier. But he is (implicitly) assuming fixed exchange rates in his model. The vast majority of US trade is with countries with which it has flexible exchange rates (Canada, Mexico, Europe, etc.)Nick Rowehttps://www.blogger.com/profile/04982579343160429422noreply@blogger.com