Markets left to their own devices reach equilibria (at least in the long run) [assuming all sorts of unlikely conditions, shhhh], so effective demand is not a problem. Check out the latest work by the hot French economist, J.B. Say.
On Sat, Jul 16, 2005 at 10:14:49PM -0400, tom walker wrote: > "Modern macroeconomics understands well why the > long-term behavior of output and employment is not > limited by effective demand." > > and what does it mean? > > The Sandwichman > > __________________________________________________ > Do You Yahoo!? > Tired of spam? Yahoo! Mail has the best spam protection around > http://mail.yahoo.com -- Michael Perelman Economics Department California State University Chico, CA 95929 Tel. 530-898-5321 E-Mail michael at ecst.csuchico.edu
