33 comments on EU energy consensus - trending in the right direction
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33 comments on EU energy consensus - trending in the right direction
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One way or another, Keynesian economics would make a comeback. If the multinationals were to grow enough and essentially subsume everything in their path, we couldn't tell the difference between a corporation and a country. To them, Keynesian stimuli could just as easily been invoked by taking off from their reserve and stock-holders to promote growth. Now that many of these corporations have financial problems, the nations are themselves becoming competitive and taking the role of a capitalist system. Is Aramco really distinct from S.A.? What does Keynes mean there or in the case of OPEC? Keynesian stimuli is the rule anytime enough people in a society want to keep their lifestyle status quo. It's why people routinely say company when they mean country, and vice versa. In the limit, there is no difference and Keynes always applies. It's all a big incestuous circle with no beginning or end. Would economists ever want to admit this?
A terrifying prospect. The theory is to save during the boom and spend(stimulate) during the bust to even out the business cycle; the practice is to spend during the boom and go even deeper into debt during the bust(see the Ponzi scheme the US has been running since 1996; nearly all the growth has in fact been debt masquerading as GDP growth).