American Thinker: What President Obama Should Know About Recessions

Great minds usually think alike.

Mr. Earl A Thompson exactly has profound knowledge and penetrating insight about the 2008 economic recession.

He said, "As macro-economies falter and the aggregate demand for labor falls, monetary authorities should automatically expand the money supply so as to quickly restore the original demand for labor and corresponding wage level. Failing to do so invites many workers to erroneously maintain their previous wage demands in the face of a falling aggregate demand for labor and thereby lose their jobs, creating inefficiently low aggregate employment levels......"

By Earl A Thompson, Professor of Economics, UCLA

American Thinker: What President Obama Should Know About Recessions