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We know George Soros and Jim Rogers for their outspoken views and worldwide coverage to make their points - and a sensible profit from the market movements they create just remember when Soros broke the Bank of England, just to make 2 billion $ out of it)
Now we are experiencing another phenomenon - economists going public to make their point.
They are either there to support a politician, or to argue about Keynesian methods - To Keynes or not to Keynes
Krugman is the latest to date to join the club. A Nobel Prize winner, he recently published his book 'Depression Economics' (a must read by the way), and he now is now an outspoken supporter of an additional Stimulus package. He loves Keynes, doesn't like Bush (who does) and explains in layman's terms how recessions come to life and how to get rid of them.
Writing books to educate the consumers about recessions and why stimulus packages are necessary is good, engaging in politics is something that would probably confuse people more than anything else Academics are known to analyze the world from their laboratory, not the real business world.
As an example, I'd like to mention that Krugman rightly points out that the real economy is stuck partly because the banking system cannot support the real economy with the credit flow it needs. The bubble burst because the shadow banking system disappeared, and the regular banking industry is not able to replace it (one of the reasons it started as a shadow banking industry, right?).
So, is a stimulus package what is needed, or shall the politicians force banks to lend more (instead of investing the cash in the stock market and generating a crazy rally)?
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