tag:blogger.com,1999:blog-6245381193993153721.post8998063284842806344..comments2024-03-17T00:23:24.896-07:00Comments on Social Democracy for the 21st Century: A Realist Alternative to the Modern Left: Debt Deflation: 1920–1921 versus 1929–1933Lord Keyneshttp://www.blogger.com/profile/06556863604205200159noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-6245381193993153721.post-77829131846185384232014-02-09T08:57:45.211-08:002014-02-09T08:57:45.211-08:00Thanks for this comment.
Yes, people increased th...Thanks for this comment.<br /><br />Yes, people increased their savings from 2008 partly owing to uncertainty and partly in order to pay down debt: increased repayment of debt, however, does not necessarily translate into increased investment at all.<br /><br />And if one looks at what banks did with most of the excess reserves from QE 1, QE 2, etc. -- namely, hoard them at the Federal Reserve -- one can speak of this as massive bank savingsLord Keyneshttps://www.blogger.com/profile/06556863604205200159noreply@blogger.comtag:blogger.com,1999:blog-6245381193993153721.post-28121069964704237982014-02-09T07:34:38.179-08:002014-02-09T07:34:38.179-08:00Great piece LK. This is one of those Zombie argume... Great piece LK. This is one of those Zombie arguments that get made again and again-partiuclarly by Internet Austrians-that the 1920-21 deflation proves that 'deflation works.'<br /><br /> Here is another zombie argument that has just been dismantled-it's by a student of Miles Kimball-the claim that excess savings has not been a problem during this recession and slow recovery. <br /><br /> I discuss it here. <br /><br /> http://diaryofarepublicanhater.blogspot.com/2014/02/miles-kimballs-student-kills-zombie.html<br /><br /> Mike Saxhttps://www.blogger.com/profile/01360689916550576484noreply@blogger.com