Larry Kudlow Is Not The Antichrist

Anybody ever take a nap while listening to a talk radio show, and dream about listening to the talkmeister? I did that this afternoon, when Larry Kudlow guest-hosted Bob Brinker’s “Money Talk” show. (In the dream he was a white-haired balding guy. Got it half right.)
Kudlow talked about the recent economic downturn, and says there is a problem that still needs to be corrected: he says the Fed has been pursuing a deflationary monetary policy? Any econo-junkies out there? Does his claim seem on the mark?
I did a Google search to see if Kudlow is an economist worth listening to. The #6 result suggests that the answer is “yes.” It’s a 2002 Ether Zone column by everybody’s favorite online antiwar hysteric, Antiwar.com’s Justin Raimondo: PURE EVIL: Lary Kudlow & the Economics of the War Party.
He takes issue with this Kudlow statement:
“The shock therapy of decisive war will elevate the stock market by a couple-thousand points. We will know that our businesses will stay open, that our families will be safe, and that our future will be unlimited. The world will be righted in this life-and-death struggle to preserve our values and our civilization. But to do all this, we must act.”
Raimondo misinterprets this as an appeal to the “broken window” fallacy. He glosses over the foundation of Kudlow’s argument, that we are defending “values and civilization.” Kudlow doesn’t call for eternal war so that the military-industrial complex would have more “windows” to fix. He recognizes that there’s a bunch of guys preparing to break our “windows,” and calls for the government to stop them. The markets will go up because they foresee that a military response will sharply reduce the risk of another 9/11 coming to our shores and disrupting American commerce.

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