Liberal vs. Conservative on Government Spending

I recently read two opinion pieces regarding what to do about the economy, specifically, whether the government needs to spend more or less money.

In one of the pieces, Paul Krugman of the New York Times argues that this is not the time to be cutting public spending and investment. He says that state and local governments, since they are required by law to have balanced budgets, are trimming social programs and public spending in order to eliminate their deficits. This behavior, in turn, is exacerbating the crisis by downsizing the local safety net and increasing unemployment by eliminative public sector jobs.

In the other piece, Peter Schiff, writing for the Wall Street Journal, argues that the government is broke and really has no money to spend. It can only borrow money from the future, or in the absence of willing lenders, take it out of the current economy by printing money, and then put it back in somewhere else. He says that individuals, local, and state governments are responding to this crisis rationally by spending less, but the federal government wants to respond by spending more, in the form of a giant stimulus package.

Who do you agree with?