Mark Thoma wonders what flavor kool-aid Ben Bernanke has been drinking if he thinks "rising...

|By:, SA News Editor

Mark Thoma wonders what flavor kool-aid Ben Bernanke has been drinking if he thinks "rising wages would probably spur household spending in the next few quarters." With personal income lower on wage declines, "there's nothing in the current data to give me confidence that is going to happen - and I don't think policy should be based upon this expectation."