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If people are thrifty, so need less money and work less, the economy will be smaller. That's a choice though, not a problem.
by incompatible 9y ago
If people are thrifty, so need less money and work less, the economy will be smaller. That's a choice though, not a problem.
- redahs 9y agoIf people are overly-thrify, it simply means that there is an under-supply of profitable investment opportunities for them to allocate their savings and labor toward. It is possible to increase the supply of real investment opportunities (investment opportunities which do not depend upon the extraction of "rent" from other investors) through the use of public inducement prize contests. It is possible for government to subsidize the creation of real investment opportunites by raising the nominal value of public inducement prize contest prize pools.