3 ms·
The sharp influx should even help with the velocity of money. I am not an economist but I've been trying to learn a bit about it and a bit about financial mana
by KGIII 9y ago
The sharp influx should even help with the velocity of money.
I am not an economist but I've been trying to learn a bit about it and a bit about financial management/investing. I'm currently at the velocity of money stage of my learning.
https://en.m.wikipedia.org/wiki/Velocity_of_money https://en.m.wikipedia.org/wiki/Velocity_of_money
It's not really the same thing as the trickle down that the parent poster mentioned. From what I can tell, you hit the nail on the head.
An influx of money will mean the money moves. Also, when money moves is when the government taxes it. So, the influx will increase the velocity of money and will have an effect on the economy.
That's not the same as the parent post implied, where there's a reduction in taxes and that is supposed to result in the money trickling down. That's not the same as an influx of money. One is people keeping their money, the second is people getting more money.
If I understand correctly, they are different things. Then again, I may not understand correctly. As I said, I am still learning.