In a recent post, I discussed economists who proceed by observing reality as opposed to those who proceed from a fantasy world. I stated that, in economics, this dichotomy is what George Reisman has referred to as productionism vs. consumptionism, and, in philosophy, what Ayn Rand called the primacy of existence vs. the primacy of consciousness.
To see a brief glimpse of this idea in action, here is a video from a recent roundtable pitting Keynesian Joseph Stiglitz against hedge fund manager Hugh Hendry regarding Greece and the larger problem of unsustainable government debt (the other guy is a Spanish bureaucrat who blames speculators). Note that Stiglitz's entire orientation is not reality based. He starts by disputing the idea that the term "bailout" is appropriate then calls for "social solidarity" between countries seeming to suggest that the solution is for other countries to merely state that they will stand behind Greece (not to actually cut spending) then dismisses the level of Greece's debt as inconsequential.
I love the beginning of Hendry's response - the title of this post. Indeed, Stiglitz should go there sometime. P.s. guess which one is the advisor to Greece (and Obama)?