Re:Why Are Corporations Hoarding Trillions?
by RobertoG on Friday January 22, 2016 @09:10AM
(#10952759)
Obviously I'm not explaining myself very well. I will make a last try.
The comment I was answering, talked about a government buffering mechanism as something wrong and destructive (burning real wealth). I just pointed that this kind of mechanism is not necessarily destructive.
In the next paragraph he proposes that the only way to go out of recessions is the "creative destruction" of capitalism. This is effective destruction of real wealth. It seems, that if the markets decide to destroy real wealth, then it's OK.
My answer was only about that and I was not saying that the buffering mechanism created demand.
Interestingly enough, even if I was not claiming anything about that before, there is a buffering mechanism that would create demand, and keep inflation in check: Job Guarantee as a buffer mechanism of jobs.
The comment I was answering, talked about a government buffering mechanism as something wrong and destructive (burning real wealth). I just pointed that this kind of mechanism is not necessarily destructive.
In the next paragraph he proposes that the only way to go out of recessions is the "creative destruction" of capitalism. This is effective destruction of real wealth. It seems, that if the markets decide to destroy real wealth, then it's OK.
My answer was only about that and I was not saying that the buffering mechanism created demand.
Interestingly enough, even if I was not claiming anything about that before, there is a buffering mechanism that would create demand, and keep inflation in check: Job Guarantee as a buffer mechanism of jobs.
http://www.epicoalition.org/docs/buffer_stock_employment_mod...
I am not totally convinced about the idea myself, but I think it deserves more attention