Keynsian economics is dead

Discussion in 'Economics' started by Humpy, Dec 1, 2008.

  1. One of the best posts. Thanks.
     
    #41     Dec 2, 2008
  2. You gotta pay the Piper eventually. The problem with your thinking, which is prevalent in society, is that you can't handle the truth, hence you hide from it and keep making excuses.

    As for Mad Max scenario, have you ever seen what happens during a currency collapse? There is a chance you soon may.
     
    #42     Dec 2, 2008
  3. faure

    faure

    Keynes' concept of the multiplier is the crux of the whole theory. Take a closer look at it before you decide the market solves everything.
     
    #43     Dec 2, 2008
  4. You got no choice. Otherwise you will go into negative interest rates and hyperinflation.

    Government is no bad thing if it does what is supposed to do. Negative interest rates is a bad thing regardless.

    Your choice....
     
    #44     Dec 2, 2008
  5. If you're looking for the truth go to your local priest. He did a very good job explaining to truth seekers like you what options are there.
     
    #45     Dec 2, 2008
  6. Once again,

    There is NO REAL PRODUCTION. You build a highway, attract some activity but then what? You going to keep building highways to keep the contractors employed? Or do you just assume that because of the highway, there will be new development? Where are the jobs? Servicing the highway? Who is paying for that? Taxes from the residents who are doing what? Running service businesses for each other?

    If you research the roots of Keynesian economics, you will find that it is essentially propaganda of the central banksters. Common sense will make that obvious to you as well.
     
    #46     Dec 2, 2008
  7. My local priest? I don't associate myself with any religion, so no thanks. But he did have a message for you, he wants to reconnect and share some of those fun times the two of you had. You still like sucking on lollipops?
     
    #47     Dec 2, 2008
  8. You do not understand economics. The word "highway" is used to mean general infrastructure projects which are very useful to society and productivity increase and can stimulate future growth.

    I think you ought to visit your local priest and confess your ignorance.
     
    #48     Dec 2, 2008
  9. faure

    faure

    Okay let me put it another way, the building of a bridge is real production in the sense that something real is created, right? A bridge has been built but at the same time the cement factory has made cement, the steel company has manufactured steel, orders for machinery have to be placed at the machinery company. All these companies spend their money on suppliers. The money trickles down the system along with production of goods that the money brings.

    The aim of all of this is to temporarily support the economy until private spending takes over. Then taxes are raised to pay back the government debt.
     
    #49     Dec 2, 2008
  10. Hey, well with that logic, why don't we just start building homes & condos all over the place, get the people working, start materials moving, service industry developing for the workers, and everything will be great. Except that this nation just went through that.

    Been to Florida lately? I just came back. Hilarious. That's exactly what they did there. Wonderful results (heavy sarcasm intended)

    I know that the real events exemplifying what a joke this concept is avoid you. But let me try explain it once again. THERE IS NO REAL PRODUCTION. Just building random structures which have no real demand does not accomplish anything except generate more debt & illussions.

    Government spending should from an excess of tax receipts for projects that need to be done. Not borrowing money to create projects that have questionable demand & value. That's called waste.
     
    #50     Dec 2, 2008