imotion, very thoughtfull post. Couple things...
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Originally Posted by imotion s14
The path the country has chosen to go down is massive deficit spending during a recession
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According to the prevailing economic school of thought, one way to pull an economy out of a recession/depression is through what's called expansionary fiscal policy. Basically having the government spend a bunch of money on projects (Common example: The public infrastructure projects done under FDR (Interstate highway system, Hoover dam, etc...). Now, that's not to say that any government spending is usefull. The key is to
invest in projects and infrastructure that can help our nation become more efficient and productive in the future. Simply racking up a huge debt fighting a war will not by itself help the situation.
Quote:
Originally Posted by imotion s14
No one wants to manufacture anything because that means factory jobs instead of borrowing money to buy houses and flipping it for profit. We don't need bubble economies. We need a real economy, we need to save, we need to stop living beyond our means and we need to manufacture things to sell.
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Couldn't agree with you more. As our manufacturing sectors have been slowly phased out, we have more and more become an economy based on secondary goods and services (roughly 30%), such as insurance, consulting, and financial services.
Basically we have built an economy based on people moving money around. While this is great and all, and certainly has a place within the economy, I beleive that there is a disproportionate number of people and resources devoted solely to day trading fucking wheat futures in lebanon to try score a quick grand or two.
I was kind of an econ nut in highschool. Forgive me
01-10-2009, 09:54 PM
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