I think that I can offer a plainer explanation than DeLong who states:
Paul is, of course, right. There is no real economic cost associated with delay by itself: the $600 billion per year number is just a standpoint-of-valuation and choice-of-units effect. There is a real economic cost associated with delay only if delay robs you of the opportunity to undertake the most efficient and effective Plan A and forces you to adopt an inferior Plan B for fixing the problem instead. That's not the case here.
That is good Professor DeLong but if your really dumbing this down you need to think of me and my drinking friends.
The bar closes at two am and you need a greasy burger. Plan A is to grab the burger joint that your buddy tells you is great. Plan B is to go to Wendy's for the old standard. Your buddy wants to drop by his apartment to get some cash...do you do it? Only if the recommended burger joint is open late. If it's closing soon then you'd better pay for your buddy. Otherwise go to your buddies place and then head over for the burgers.
Actually, now that I think about this it seems I need a drink. Nevermind.
