It Might be Dismal, but is it Science?

Economics Professor Brad DeLong:

What is needed, in such a situation, is:

...5. expansionary fiscal policy: have the federal government print up a huge honking tranche of extra Treasury bonds and so expand the supply of "'type 2' liquid assets--and then spend the money putting people back to work.

Economics Professor James Hamilton:

So I can see who bought the $2.7 trillion in net new Treasury debt issued between 2007 and 2009. What I'm having more trouble seeing is who is going to buy the additional $8 trillion in net new debt that would be issued over the next decade under the CBO's alternative fiscal scenario.