Krugman rips Paul Ryan a new one

[punked]

Ouch

I don’t even know where to start with this. What does Ryan think the fed funds rate is? (It’s the rate at which banks lend each other money overnight, usually to help meet reserve requirements.) He obviously doesn’t know the the Fed funds rate basically equals the return on federal paper, so that raising that rate would make banks more, not less, likely to stay with that federal paper. I’m sure someone will try to come up with a reason why Ryan is being smart here, but the truth is that he’s stone-cold ignorant....

So this is the smartest Republican Congress has to offer?

Of course, Ryan’s idea of fiscal reform is to run huge deficits for decades, but claim that it’s all OK because we’ll cut spending 40 years from now; and he throws a hissy fit when people challenge his numbers, or call privatization by its real name.

But hey, he’s intellectually ambitious.

http://krugman.blogs.nytimes.com/2010/07/30/dont-know-much-about-economics/