The dream of government spending our way out of recession got a step closer to death at the Toronto Summit of G8 and G20 leaders. Things just aren’t what they were.
Last weekend’s G-20 summit in Toronto issued a veiled rebuke to the Obama administration’s continuing appetite for Keynesian stimulus.
An unveiled editorial the Wall Street Journal exulted over the dead end of Keynesian economics. Finally the Journal can report that the idea of spending our way to prosperity is going out of style. The blissful dawn is ending in humiliation and failure.