Scott Sumner predicted the former as did most of the market monetarists. Another great Scott Sumner prediction: fiscal austerity hurts if you lack an independe

Scott Sumner predicted the former as did most of the market monetarists. Another great Scott Sumner prediction: fiscal austerity hurts if you lack an independent central bank, but not if you don't (directly contradicting new style Keynesians, e.g. Krugman). The results: http://www.themoneyillusion.com/?p=29692 http://www.themoneyillusion.com/?p=29692 Various ideological enemies of Krugman predicted the housing bubble, and far more clearly than Krugman; Ron Paul, for example, argued against the creation of a housing bubble in 2001. It's hardly clear to me that Krugman even predicted it. From your article: "To fight this recession the Fed needs more than a snapback...Alan Greenspan needs to create a housing bubble to replace the Nasdaq bubble." The wording is ambiguous, but to me it sounds less like a prediction and more like advocacy. A few years back I was a solid structuralist, but the monetarists have a really good track record of disagreeing with other people and coming out right.