From Dow Jones & Company:

James Galbraith, a professor at the University of Texas at Austin and the son of famed American economist John Kenneth Galbraith, shares his views on the U.S. economy during an interview with MarketWatch. He criticizes the idea that the Federal Reserve deserves credit for the drop in inflation and explains why he believes the Fed should cut rates, saying that the rise in rates has damaged the housing market. Galbraith points out that the ballooning national debt is not a consistent worry and that modern economics lacks specific diagnoses and treatments for economic issues, calling modern economics witch-doctor economic policies. He believes that the U.S. economy should prioritize definancialization and demilitarization. Galbraith believes we should address certain economic problems such as inequality, insecurity, and environmental and political issues instead of obsessing about the federal debt. He thinks the Biden administration’s handling of climate change projects and political relationships are crucial and that the current economic structure needs to be reformed, calling for the reduction of the financial sector and the demilitarization of the U.S. involvement in world power.



Read more: ‘Damage has been done.’ Why economist Galbraith says the Fed should cut rates.