Daily Archives: February 20, 2014

A Lesson in Economics from Stephanie Kelton !

Stephanie makes it  easy to understand and doesn’t come across as blunt or evangelical. She doesn’t use meaningless terms such as ‘rebalancing the economy’ which you’ll read in the economics columns of various newspapers. You probably won’t see any economic discussion this useful on the TV!

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Note to the beancounters of this world: If you plant beans, you can grow more beans!

From purely a common sense perspective, economists and politicians should look at the resources which are available to them to solve many of the problems which are of concern today: crumbling infrastructure, poor delivery of public services etc. If they did that the situation would look far less daunting than it does.

The number of underemployed and unemployed workers should be seen as an unused asset, and a key resource, rather than a problem to be solved.

Instead it’s the bean counters who are in charge. They fail to realise that beans planted and cared for in the correct way leads to the production of more beans. Inflation is only likely to be a problem if the economy is pushed so hard that it runs out of available resources. Keynes had something to say about that!