I just have glance across the Credit Suisse’s arguments, and I can already tell that it is garbage. Jobs, wages, and tax cuts, huh? I just read a few pages on Ben Anderson, and even there he said that nothing is that simple. He mentions for example how credit creation can help the economy only in instances where there is missing capital and available workers who put the credit into productive ventures. If not, credit will just withdraw important capacity from somebody else (or just end up in speculation). The same questions I could ask: What jobs? What wages? And what tax cuts? Jobs are in real-estate, financing, hedge-funds or other nonsense. Wages keep hardly pace with inflation. And tax cuts, useless too, if we can’t afford them. Yeah, I am happy about a 15% tax on my investments. Now I don’t have to work so much, haha. It’s all magic, just drop the tax and economy will soar. Why haven’t all countries dropped the tax rate to 0%?
It’s about using your brain, and stimulate where there is drive to improve our future, not add fuel to an already burning fire.
