Tuesday, December 7, 2010

Limbaugh: All savings are spent

Limbaugh nails it, debunking the myth that only Keynesian, targeted tax cuts "stimulate" the economy.
Okay I save it. What does that mean? ... Some goes in a bank account, but then what does the bank do with it? They spend it. Whomever I give my money to spends it. I might buy stocks with it. I might buy municipal bonds. Everything that people do with their money is "spending it", one way or another.
Amen. All savings are ultimately spent. Savings are just "spent" on capital, and capital is what is required for economic growth.

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