<<<<The key to the future is the US commitment to maintain near full employment in the face of massive deflationary pressure and general financial panic. I think the neo-Keynesian policy prescription is accepted, or at least understood, by every economist alive. Many will not view it as the best possible policy, but most will admit that it could work if we all pretended that it will work.>>>
I can agree with that, but I would replace "full employment" with "maintain a full flow of money". There have been so many changes in recent years, with volumes of workers at Disneyland, Sea World,casinos,riverboats, and restuarants. Services and entertainment
( for us older retired workers)hehe, whereas factories have become more automated and efficient so as to require fewer workers.
A whole new generation of retired people with SS and usually
pensions.In addition there is workers compensation ,unemployment benefits, and welfare programs which represent fixed money flows
Layed-off auto workers who qualify will receive (I think) 90%
of full pay for two years.
UN-funded or under funded pension plans have been corrected,
Boeing pension money was once invested in Boeing stock and that is now a big no-no. And no retirement benefits unless one stayed with he company for 8 years, again corrected to where most companies must provide some retirement for 5 years service.
I am not a trained economist(probably shows(hahaha)),so the government has me buffalowed with their complex computations. But these things have changed so much even in the last 5 or 10 years, that it is questionable that past economic theories can predict what might happen tomorrow.
Just keep the money moving in the US and I think we will do OK.
How does that joke go?. "Ask two economists for their opinion and you get three different answers"
Excellent work on that post....
Sig
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