"History is a wonderful thing, if only it was true"

Sunday, July 05, 2009

Provative Thoughts on Wealth and Debt

At least the author's answer is to ramp up innovation and productivity, investing in education and research, trim spending .... not raise taxes.
Reduce inequality by greater investment.
A tricky political path to take

FT.com / Comment / Opinion - Debt is capitalism’s dirty little secret:
"Just why is there so much debt in the Anglo-Saxon world? Bankers and regulators know well that it is in nobody’s long-term interests to have allowed borrowing to escalate to a position where the US now owes far more, as a multiple of the economy, than at the start of the Great Depression.

The answer is capitalism’s dirty little secret: excessive lending was the only way to maintain the living standards of the vast bulk of the population at a time when wealth was being concentrated in the hands of an elite."

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