tag:blogger.com,1999:blog-2098432983500045934.post866028015786555342..comments2024-03-12T22:19:32.339-04:00Comments on The New Arthurian Economics: The Best of MoslerThe Arthurianhttp://www.blogger.com/profile/16501331051089400601noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-2098432983500045934.post-44791271392434562662011-08-07T08:13:09.190-04:002011-08-07T08:13:09.190-04:00I think Jazz is right Art. Its implicit in Warren...I think Jazz is right Art. Its implicit in Warrens analysis.<br /><br />He's explaining that the reason we have been running such "large" budget deficits is that the private sector has been saving, encouraged by congress. The paradox shows that no ones saving desires will be met if all within the private sector try to save more UNLESS the govt spends more. The govt deficit allows us to realize our savings desires, its very simple sectoral balances stuff.Greghttps://www.blogger.com/profile/03139782404004492965noreply@blogger.comtag:blogger.com,1999:blog-2098432983500045934.post-5121858322350718642011-08-07T03:48:52.181-04:002011-08-07T03:48:52.181-04:00??
The "paradox of thrift" is that when ...??<br />The "paradox of thrift" is that when everyone tries to save more, their actions create a decline of income that undermines the effort to save. There is none of that in this post.<br /><br />This post is about the imbalance in the money, the imbalance between circulating and sedentary money. An imbalance created by policy.<br /><br />Alas.The Arthurianhttps://www.blogger.com/profile/16501331051089400601noreply@blogger.comtag:blogger.com,1999:blog-2098432983500045934.post-79031615455724285062011-08-06T10:06:30.983-04:002011-08-06T10:06:30.983-04:00This is the paradox of thrift, and pure Keynes.
A...This is the paradox of thrift, and pure Keynes.<br /><br />And it's a deep problem. If I spend my retirement savings today, what am I going to live on tomorrow?<br /><br />A solution has to include some sort of a plan to give financial security to seniors. I can assure you that SS by itself is far from adequate - and I get within a few dollars of the theoretical maximum for one starting withdrawals at age 62.<br /><br />The other thing it points out is the dirty little secret of capitalism - it is totally dependent on consumption. That's why recessions are almost always caused by demand shortfall. The only oversupply recessions occurred after the two WW's. I discussed the post WW II situation yesterday.<br /><br />Alas,<br />JzBJazzbumpahttps://www.blogger.com/profile/07337490817307473659noreply@blogger.com