1. The debate was truly awful. The financial crisis was caused by greed (McCain) and deregulation (Obama). We need energy independence. Our priority is to do everything at once (McCain). We will cut spending by spending more (Obama). We can create jobs.

Let me ignore the rest, and focus on jobs. We can create jobs by getting rid of computers and going back to carbon paper for communication and paper and pencil for arithmetic. We can create jobs by getting rid of electric motors and going back to human power to run factories. As long as wants are unlimited, you don’t need to create jobs.

If the candidates were out to correct economic ignorance instead of pandering to it, the debate would not resemble last night’s in any way. There was no winner. Only losers.

2. Avinash Persaud explains how what I call Method B lending was encouraged by regulators. Thanks to Tyler Cowen for the pointer.