God forbid Krugtard honestly tell people what happens after rates are risen and what happens when that fails to cure Big Governments appetite, grotesque spending and mounting debt.
No matter what the rates are, the Fed gets 18-20% of GDP. Every time. The only thing higher rates do is slow the growth of GDP. They haven't reversed the growth, at least not by themselves, but I am willing to bet Krugman wants to explore that uncharted territory. And I love the "Why not raise it to 100%" argument. Liberals always argue there is no effect to raising rates, and I always ask why not make it 100%. Do you think there will be an effect then? Then you get that dull stare and some look of condensation, but never a rebuttal. .