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Si1

Financial Policy In Place Of Structural Reform

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Noticed the tendency for governments (or rather vested interests controlling those governments) to think that money printing and zirp are some kind of excuse to not bother with a productive economy?

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Noticed the tendency for governments (or rather vested interests controlling those governments) to think that money printing and zirp are some kind of excuse to not bother with a productive economy?

Ideology prevents them from understanding they need to use their fiscal power to support agg demand and investment.

CBs are thus forced to do the heavy lifting insofar as they are able.

P1ss poor government sadly.

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The only time government has ever done anything favourable was in the late 40s, 50s and into the early 60s when they thought there might be a threat of turning communist if everyone had to live in cold damp mouldy shacks instead of being allowed to build their own homes or having them built.

If we all started voting green or BNP, they might actually go in the right direction again...

Basically they'll steal as much as they can unless they think the people are awakening.

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Ideology prevents them from understanding they need to use their fiscal power to support agg demand and investment.

CBs are thus forced to do the heavy lifting insofar as they are able.

P1ss poor government sadly.

If aggregate demand is distorted why does propping it up help?

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Ideology prevents them from understanding they need to use their fiscal power to support agg demand and investment.

CBs are thus forced to do the heavy lifting insofar as they are able.

P1ss poor government sadly.

You have unwittingly demonstrated my point

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If aggregate demand is distorted why does propping it up help?

This is the problem. We don't want to muffle market signals.

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The only time government has ever done anything favourable was in the late 40s, 50s and into the early 60s when they thought there might be a threat of turning communist if everyone had to live in cold damp mouldy shacks instead of being allowed to build their own homes or having them built.

If we all started voting green or BNP, they might actually go in the right direction again...

Basically they'll steal as much as they can unless they think the people are awakening.

Worked until the early 70s when inflation and unemployment took off simultaneously, which the Keynesians had said was impossible and were at a loss to explain.

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The weakness of keynesianism is moral hazard

The weakness of anti keynesianism is moral extremism

Edited by Si1

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Zirp working really well in US.

Some big bucks for first users and big corps, skews the playing field and screws many others.

First time in 35 years more companies are quitting rather than starting up.

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Worked until the early 70s when inflation and unemployment took off simultaneously, which the Keynesians had said was impossible and were at a loss to explain.

Yep. Although neo-keynesian Krugman says stagflation never happened because inflation was 'imported' by oil.

While I think thats laughable....inflation was showing up everywhere, and began before the oil shock, I dont see what different it would make. Oil is pretty essential for most people, and logically inflationary monetary and fiscal policy is going to harm the currency and mean more 'imported' inflation.

Not sure exactly to what the foundations of the 70s problems can be traced to other than perhaps accepting that after a long period of growth, the situation was inevitable at some point...though I certainly dont think unions and inefficiency helped.

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Zirp working really well in US.

Some big bucks for first users and big corps, skews the playing field and screws many others.

First time in 35 years more companies are quitting rather than starting up.

COOL stat!

Is there a source?please

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