by enXiApril 4, 2009
Banks
Consumption is, in reality, important in a free economy: especially the freedom of consumers to buy goods in unrestricted markets. However, it is investment (savings) – the total opposite of consumption – that holds the key to long term economic growth. Consumption-promoting public policies, like low interest rates, do so at the expense of savings. Fewer saving means less investment; and an economy that consumes all its resources without saving or investing, will eventually end up bankrupt.
Read the full article →
by enXiApril 3, 2009
Currency
Minds of most Americans have been corrupted with many economic myths by mainstream economists and so called experts, which are reinforced by the media and often repeated on the streets. These myths are false in most cases, and based on half truths in others. We constantly hear things like: inflation is caused by rising oil prices; consumption is the most important element for economic growth; government expenditures help stimulate the economy; and many others.
Read the full article →
