On August 11, 2013, Paul Krugman writes in The New York Times:
One way to think about Friedman is that he was the man who tried to save free-market ideology from itself, by offering an answer to the obvious question: “If free markets are so great, how come we have depressions?”
Until he came along, the answer of most conservative economists was basically that depressions served a necessary function and should simply be endured.
Injecting borrowed money, which ever-increasingly enlarges the national debt and interest obligations, is inflationary. It is the exponential disassociation of production and consumption that is the problem in the United States economy, and the reason that ordinary citizens must gain access to productive capital ownership to improve their economic well-being. Once we set out to finance FUTURE economic growth using “future savings” (earnings) to repay no-interest capital credit loans, there will be a powerful expansion of demand from new “customers with money” to support the products and services that the FUTURE economy will be capable of producing. Paul Krugman never addresses providing EQUAL opportunity for the 99 percent, who are, in practical terms, propertyless, to acquire FUTURE wealth-creating, income-generating productive capital with “future savings” (earnings) of the capital investments.
See A New Look At Prices And Money at http://cesj.org/binaryeconomics/price-money.html
See “Financing Economic Growth With ‘FUTURE SAVINGS’: Solutions To Protect America From Economic Decline” at NationOfChange.org http://www.nationofchange.org/financing-future-economic-growth-future-savings-solutions-protect-america-economic-decline-137450624
Support the Capital Homestead Act at http://www.cesj.org/homestead/index.htm and http://www.cesj.org/homestead/summary-cha.htm
http://www.nytimes.com/2013/08/12/opinion/krugman-milton-friedman-unperson.html?_r=0
