More Piling On Cochrane: Why He Cannot Go Back To Being Taken Seriously Even About Asset Pricing: Oh, I cannot resist. Since his effort to dump on Keynesians in the WSJ, lots of people have been piling on John Cochrane, showing that nearly all his claims are not only laughingly bogus, but seriously unsupported even in his own column, such as failing even to mention a single supposedly Keynesian economist who forecast a return to recession as a result of budget sequestration, a centerpiece of his embarrassing column. A sampling can be found Mark Thoma's links for today at economistsview, sort of a Christmas Eve special.
In any case, what caught my attention and is pushing me into the piling on as well is a remark Brad DeLong made in his post at the link entitled "Cochrane ought to simply say..." He suggests that Cochrane has made such a big fool of himself out of all this that he should just go back to working on asset pricing. I am going to argue that even in that arena, he has made a bit of a fool of himself and should also be ignored to some extent, even though he has a long and respectable publication record in the area.
So, what is his problem? ...