Excellent comments by afx114 and tomoeDave! It is important to maintain a balance of power over money flows. This means we need both those who represent the wealthy (so the truly lazy, non-working people don’t vote to take ALL their money away) and the workers/unions (so the wealthy don’t vote to take all their money away).
The key to a healthy, sustainable economy is the ability to be flexible, depending on different circumstances and points in various business cycles.
Both the Great Depression and the current financial turbulence are due to credit bubble which were fueled by too much money at the top…looking for and competing for a place to earn greater returns. They need to suck the money out of the masses/economy, or else there will be no “growth” in their portfolios. Wealthy people love debt because it makes them even wealthier since they are on the receiving/lending side. But where are the returns coming from?
The credit bubble deflations — and resultant socialist policies — are what puts money back into the pockets of the workers/regular citizens, so the cycle can start anew, IMHO.
