Recent email:
Wealth and dollars are not the same thing; this simple fundamental of economic analysis is lost in all the shouting. A nation develops wealth in four ways; they dig it out of the ground, the grow it, they trade something of lesser value they can make for something of greater value to makers or they invent something that they can trade something of greater value to the inventor.
Spending of any kind is a little like raking gravel’ it does not create wealth, or derivately increases the value of wealth tokens (ie dollars, euros, etc.) unless it fosters wealth creating trade or invention. This is manifest in currency fluidity and the time factor of money (both transaction speed and money accelleration). To the extent that spending reduces currency fluidity, you can bet it is corrosive to wealth creation. Unfettered spending by a single entity does that. Currently, only large governments have the ways and means to do so, although monarchs, autocrats, and financial barons (Mellon, Rothschild, Soros) have tried it in the past.
It is not just government spending; any spending so large that it retards currency fluidity, and thereby wealth creation, is a bad thing.”
author unknown
That said, a turning is coming.