Did you actually read the article? Hoarding 75% of the currency in an economy cannot, under any circumstance, be called "delayed consumption". Before Scrooge,

Did you actually read the article? Hoarding 75% of the currency in an economy cannot, under any circumstance, be called "delayed consumption". Before Scrooge, everyone earned its keep and got whatever he wanted. Life was good. It is true that not everybody have the same income or savings, but in general everyone was well fed and was able to buy whatever he needed. The savings where delayed consumption, you know... save $1 per day and by the end of the month you can hire two full time fellows for that home improvement project you had in mind. Pre-Scrooge Dwarf Economy. Daily income = Avg: $12, Min: $9, Max: $15 Cost of living: $3 Disposable income = Avg: 75%, Min 67%, Max 80% Savings = Total: $16, Avg: $2.29 Population = 7 Employment = 100% Now Scrooge comes. He hoards money for money's sake. He works in the dwarf economy full time, but only spends $4 per day for room and board. Eventually he holds all the money under his mattress and everybody is engaged in subsistence farming. With-Scrooge Dwarf Economy. Daily income = Avg: $3.5, Min: $3, Max: $4 Cost of living: $3 Disposable income = Avg: 67%, Min 50%, Max 81% Savings = $72 ($75 - $3) Population = 8 Employment = 28% Now, if you ask me, the Dwarfs are pretty stupid. They sit on their hands all day long... waiting for someone to "hire" them. If you think in a community of 8, this is nonsense. But if you think in a city of 8 million, then you are on to something. People can barely find a job. factories run below half capacity, the ones who are lucky enough to have some savings hold to them for dear life... just in case the things get even worse and they cannot earn some more. Eventually, people move into informal DIY economy with poor skills and substandard tools, Big Depression style.