On Fri, 23 Jan 2004, Andrew Jorgensen wrote: > > Are you kidding? There's a reason the interest rates are low right now, > > don't invest, spend spend spend, take out a loan and spend some more! > > The economy needs you! ;) > > Investing /is/ spending and helps the economy immensely. Saving is also > spending because the money I put in the bank gets loaned back out to > someone else who is more likely to "spend spend spend" than I am, or > invested, which again allows someone else to spend it.
IANAE (economist) but I seem to remember hearing that, even though this is true, there /is/ some reason why if everyone seems to be saving money, even though it's loaned out to other people the economy doesn't do as well. And when people spend a lot, vice-versa. Even though the bank will lend out your money to people who /will/ spend it. Can't remember why, though ... ~ ross -- This sentence would be seven words long if it were six words shorter. ____________________ BYU Unix Users Group http://uug.byu.edu/ ___________________________________________________________________ List Info: http://uug.byu.edu/cgi-bin/mailman/listinfo/uug-list
