Japan – Exhibit A Why Reinhart and Rogoff and the Debt Fear Mongers Are Wrong

Empirical Evidence Destroys a Policy Prescription

For several years now Conservatives and their toady economists have preached that large government deficits will lead to high interest rates, choking off any recovery and bringing misery and worse to the national economy.  As they say in sports let’s go to the video tape (even though tape has not been used for years).

Here is the experience of Japan over a period of almost two decades. 

Yes we know this cannot be right, it goes against what Conservatives think must happen.  But this is reality, not the dreams and aspirations of right wing fanatics who live in a fantasy world.