Dr. Robert Kelly:

I do not necessarily think it contradicts the countercyclical argument. In reality, what happened in that case is that we cut spending because we had to after a massive expansionary piece. Now, 15 years later, we are experiencing a very strong growing economy but we also have the scars of lack of infrastructure spending. We have housing deficits. It is not as if it was costless to not do that capital investment and to cut down on it for a period of five to ten years. We are still bearing the brunt of some of those decisions and cuts in spending. It has not been costless.