If Keynesians are to be consistent, then they would have to say that the significance of production is not in the particular goods being created, or how they meet human needs, but rather the amount of spending that accompanies the production. Obviously, if what recently happened in Hawaii were to proliferate, Keynesians would go bananas.
This group of determined people got together and fixed a road that government authorities said would cost $4 million to repair. It is pretty clear from this story that the residents spent much less than that, which means (if one applies Krugmanian logic) that they reduced potential wealth by $4 million minus what they actually spent. (Sooner or later, I supposed, Hawaii would have received the "stimulus" money to fix the road.)
After all, it is not the road that creates the wealth. Instead, it is the money that is spent. Right? That is a constant theme from Krugman and other Keynesians, and everyone knows that the Keynesians cannot possibly be in error.
Given that these evil residents depleted the economy of wealth, I would say that they MUST be classified as "enemies of the people." Hey, maybe they might even make President Obama's infamous "Enemies List."
Update: Poster Jeff has provided this gem from Krugman: projects are not about what is created, but rather the spending. So, I guess this means that if the government pays people to dig holes and then fill them again, it is creating wealth because people will spend the money.