Paul Krugman Goes To War With Chris Christie Over Planned Tunnel To New York

Krugman Christie

Update 1:23 PM ET: NJ Governor Chris Christie is cancelling the tunnel, according to Bloomberg.

You can’t be shocked that Paul Krugman does not see eye to eye with Chris Christie, given their radically different views on government spending.

But now it seems personal.

Paul Krugman has attacked New Jersey Governor Chris Christie over his plans to cut the second rail tunnel to New York, for both public and private reasons.

Krugman calls the not yet final decision the worst ever made in New Jersey government history on his blog. It is the sort of cut the economy can’t take right now, Krugman says, suggesting we should be ramping up infrastructure spending to fill the employment gap right now.

The tunnel is budgeted to cost $8.7 billion and is supported by $3 billion in funding from both the Port Authority and federal government, according to the New York Times. That leaves New Jersey footing $2.7 billion.

But if Christie does decide to end the project, the state will lose those federal funds, and 6,000 jobs.

Krugman has a personal stake in this fight though, as he says on his blog, “And yes, if anyone should mention it, I am a resident of New Jersey who often visits Manhattan, and therefore has a personal stake in this project. You got a problem with that?”

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