Print

How spending your way out of a slump actually works

As the debate rages over which economic policy is best for the current crisis (Keynesian spending or Friedman-esque monetarism), a look at these charts depicting the effect of the US fiscal stimulus may give some food for thought… as posted on UK House Bubble.

US disposable income

real personal consumption

UK bubble US Savings

Related Links
Keynes had no sure cure for slumps – FT.com

Print