The first rule of Keynesian economics is that when there is a recession or depression is that government has to “prime the pump” and put money in the hands of workers/consumers to restart the economy. If people can’t buy goods and services the economy cannot recover.

Published by Frank Farmer

Blog owner, retired professor

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1 Comment

  1. Something lost in all of the discussion about dept is, it seems to me if you have circulating in the economy you will be getting money back in to pay the debt? Whereas giving very rich people a huge tax cut aint going to do much unless they want a fancy new house or remodel an old one that employs people in the trades and suppliers. I don’t see or hear much of that. It seems like most of the money in tax cuts goes into making already filthy rich people even richer. Right now thanks to the trump flu I see lots of big companies getting bigger and so many little companies and people either being driven out of business or bought out cheap?

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