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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: TimF who wrote (299957)	8/14/2006 9:06:34 PM
From: combjelly	Read Replies (1) \| Respond to of 1574556

"And if the money hadn't been taxed or borrowed but instead invested or spent then it would also be in the economy." So? I wasn't claiming any different. "Government uses real resources, the fact that spending might go back in to the economy doesn't negate this effect." Now you are back to the government eating the money. Money spent on building roads, for example, isn't a negative in the economy. Neither is money spent on health care, welfare or many other things.

To: TimF who wrote (299957)	8/15/2006 12:30:15 AM
From: tejek	Read Replies (1) \| Respond to of 1574556

Government uses real resources, the fact that spending might go back in to the economy doesn't negate this effect. Tax or borrow, and you have that negative effect. Gov't puts money back into areas that private industry would ignore because they are not sexy. And in some instances gov't does it better because its motivation is different. Also the fact that the money goes back to the economy "in different places" means that more economy decision making is either political (the government deciding where the money goes), or driven by attempts to avoid the government grabbing money (people putting their money in tax shelters rather than just looking for the investment with the best risk adjusted return. Some people are greedy and self centered. Its a fact of life. Its too bad but to criticize or penalize gov't for it is ridiculous.