Not always. Saving means I'm foregoing some consumption today in favor of undetermined consumption tomorrow. If everyone saves too much, we aren't taking full a

Not always. Saving means I'm foregoing some consumption today in favor of undetermined consumption tomorrow. If everyone saves too much, we aren't taking full advantage of our production capacity today (because we don't know yet what they will want, and it may be perishable anyway). It's like traffic, rush hour is bad because everyone waited rather than using the highway when it was idle mid-day.