If you thought Ryan's fiscal policy was bad, wait til you see his monetary policy

"Sound money", raising interest rates and Ayn Rand: he's got it all.

Now that Paul Ryan is coming under the sort of scrutiny which a member of the House of Representatives never gets – even a rising star saying all the right things – his reputation as a serious man with serious thoughts is falling apart.

Take the re-examination of his proposal, in 2008, to redefine the mandate of the Federal Reserve. Not problematic in itself; lots of people want to redefine the mandates of central banks. The most popular demand is insisting they switch from targeting low inflation to targeting nominal growth.

But Ryan wanted to change the Fed's mandate from its current dual requirement, to aim for low inflation and full employment, to one which only requires low inflation. He already clearly disapproves of fiscal stimulus, but it appears that he disapproves of monetary stimulus as well.

And in 2010, his explanation to Ezra Klein of how he would use monetary policy to help the economy was bizarre and plain wrong:

There’s a lot of capital parked out there, and we need to coax it out into the markets. I think literally that if we raised the federal funds rate by a point, it would help push money into the economy, as right now, the safest play is to stay with the federal money and federal paper.

As Mark Thoma puts it:

Basically, they are telling us that if a recession hits and they have their way, nothing will be done. Not a thing. No fiscal policy response (except perhaps austerity to make it worse), and no monetary response (except, if Ryan has his way, interest rate increases based upon a misunderstanding of how the economy works that would also make things worse).

Brad Plumer explains how the real heart of Ryan's monetary policy "isn’t quite a return to the long-abandoned gold standard, but it’s a roughly similar concept": anchoring the value of the dollar to a basket of commodities.

This is wingnut thinking, which Plumer argues can all be traced back to Ryan's love of Ayn Rand's terrible novel Atlas Shrugged:

In the passages that Ryan has highlighted, Rand’s characters lament that statists have destroyed all “objective standards” for currency by abandoning the gold standard and boosting the supply of paper money in order to assist the “looters and moochers.”

None of this is new; the writing was on the wall four years ago. But whereas proposing complicated-sounding economic measures is enough to get you a reputation of sorts in the House of Representative, it oughtn't be enough to maintain that reputation once you hit the big leagues. But Paul Krugman argues that the real reason for the Ryan pick is his uncanny ability to do just that:

Whence comes the Ryan reputation? As I said in my last post, it’s because many commentators want to tell a story about US politics that makes them feel and look good — a story in which both parties are equally at fault in our national stalemate, and in which said commentators stand above the fray. This story requires that there be good, honest, technically savvy conservative politicians, so that you can point to these politicians and say how much you admire them, even if you disagree with some of their ideas; after all, unless you lavish praise on some conservatives, you don’t come across as nobly even-handed.

And yet, implausibly, the Romney/Ryan ticket could, in the very short-term, be the best economic choice America has. Joe Weisenthal makes the case:

The biggest threat to the U.S. economy is the fiscal cliff. As Morgan Stanley's Adam Parker explained in a note today, there's a very plausible scenario where 5 percent of GDP is lopped off, and corporate profits get absolutely shredded. And this assumes that the debt ceiling is passed without creating a gigantic shock to the economy.

The best scenario for avoiding a fiscal cliff mess is to see Mitt Romney elected. As we argued back in early April, the surest way to get Republicans on board with ongoing deficits is for them to be the party in power again.

History seems to be pretty clear on one issue: Parties out of power favor austerity. Parties in power favor stimulus.

Weisenthal goes on to quote Josh Barro trying to guess Ryan's role in Romney's economic plan:

Conservatives are never fully going to trust Romney. If he comes to them with, say, economist Glenn Hubbard’s proposal to throw about a hundred billion taxpayer dollars at restructuring underwater home mortgages, they’re likely to resist.

But what if Vice President Paul Ryan makes the pitch? Won’t House Republicans be much more likely to conclude that mortgage bailouts actually are conservative?

I’m not suggesting that Ryan is going to throw conservatism entirely under the bus. Romney surely wants to do some things that Republicans in Congress will love and others they will be resistant to—only part of his economic plan is secret. So both sides of Ryan’s skill set will come into play.

In the end, even when a scenario is presented in which Ryan is actually good for the economy, it all comes back to his surface appeal. The man looks competent; he looks like a conservative, like someone who can be trusted, who has thought through his opinions, and hasn't based economic policy on a 55-year-old sci-fi novel.

He isn't, of course. But when's that ever stopped anyone?

Paul Ryan meets a baby. Photograph: Getty Images

Alex Hern is a technology reporter for the Guardian. He was formerly staff writer at the New Statesman. You should follow Alex on Twitter.

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Tetris and sleep deprivation: how we can help emergency workers cope with trauma

First responders are at serious risk of developing PTSD during events like the Paris attacks. 

Some people seem able to deal with anything. They save a stranger from bleeding out in a bombed restaurant, protect passers-by from heavily armed gunmen, pull dead and dying people out of collapsed buildings, and they keep going because it is their job. These people are first responders.

When trauma goes on for days, as it has recently in Paris, however, the odds of them bouncing back from the violence, death and injury they are witnessing rapidly diminishes. They are at greater risk of developing a severe stress reaction known as post-traumatic stress disorder (PTSD). One study found that the worldwide rate of PTSD among first responders is 10 per cent, much higher than the 3.5 per cent rate among those not involved in rescue work.

Tetris to the rescue

So how best to address the problem? Research is in its infancy, but there are some promising studies. Emily Holmes’ group at the University of Cambridge has been looking at the benefits of playing Tetris, a video game, after a traumatic experience. The idea is that this could block the consolidation of traumatic memories so they don’t “flash back” later on.

For the study, her team first traumatised people by showing them distressing footage from public safety videos. The next day they invited them back into the lab to reactivate the memories with still images taken from the videos. One group then played Tetris for 12 minutes while the other sat quietly. Over the following week, the group who played Tetris had about 50 per cent fewer unwanted memories from the films compared to the group who didn’t.

The team concluded that playing Tetris helped individuals because it soaks up their visual processing capacity, making it harder for the brain to consolidate the visual parts of a traumatic memory.

Since it takes about six hours for the brain to cement a memory, the key is to play the game soon after trauma or within six hours of re-activating the traumatic memory. How long the helpful effects of playing Tetris will last and whether it will translate into helping people after real-life trauma is still unknown.

Talking it through

Other techniques, such as “updating”, taken from a highly-effective talking treatment for PTSD, may be more practical and easier to implement.

Like a detective, updating is a technique that focuses on finding new information and linking it to the case, the past memory. This is necessary because when the brain and body are in survival mode during trauma, the mind finds it difficult to encode all the relevant facts. Often key pieces of information that could make the memory less traumatic are lost. Updating links new information to someone’s memory of their trauma to make it less upsetting.

But can updating help to reduce unwanted memories after trauma?

We carried out a study, published in PLOS ONE, in which we traumatised people by showing them terrifying films of humans and animals in distress. We then divided our participants into three groups. One group watched the films again but were given new information about how long people suffered and whether or not they lived or died – essentially, they were updated. The second group watched the same films again but without the new information. And the third group watched films of humans and animals who were not in distress. The updated group had fewer traumatic memories and PTSD symptoms than the other two groups.

Updating is now being used by some UK emergency services. First responders will gather after critical incidents and update their memories of what happened before they go home.

Sleep deprivation

There are other techniques that may be helpful. One study found that depriving people of sleep may be useful in the aftermath of trauma.

But the same study found that a week after the trauma, people who had been deprived of sleep had the same number of unwanted memories as people who had slept well afterwards. Consequently, it remains unclear whether there would be any long-lasting benefits using this method. There are, however, certainly health risks linked to lack of sleep.

Still looking for a solution

To develop preventative interventions, we need to study newly-recruited emergency workers who haven’t yet suffered on-the-job trauma and follow them over time, spotting which “coping styles”, present before trauma, may predict their reactions afterwards.

For example, some people naturally react to stressful life events by dwelling on them, thinking about why they happened for hours on end. This strategy, called rumination, has been linked to PTSD in people who survived car crashes.

If rumination predicts PTSD in first responders, then preventative interventions could train people to spot when they are dwelling on an event and refocus their attention to the task at hand.

When we have identified which factors heighten emergency workers’ risk of developing PTSD, programmes can be developed to target those vulnerabilities. Only then can an intervention, directed at first responders most at risk of developing PTSD, properly protect them in their line of work.

The Conversation

Jennifer Wild is a Senior Research Fellow in Clinical Psychology at the University of Oxford

This article was originally published on The Conversation. Read the original article.