/biz/ - Business & Finance

>>56929374
It seems like a half thought out solution to try and deal with the investment sink that is problematically distorting the money supply. We really need to fix that problem, but this is only addressing the symptoms so it won't work long term. Although I do give her some credit given very few even talk about the problem.

The problem is people are investing in the market not as originally intended as a way to temporarily reallocate inactive money to help drive system wide efficiency by way of velocity increase, but as a way to save money while avoiding taxes and inflation effects which is actually creating more inactive money thus the current system is making the problem worse. The hidden solution to the larger inactive money problem that has been used for years was to print more money, but that just made it worse as the inflation effects pushed cash savers to become market savers, as the markets offered even higher interest returns for lower activity. She is one of the few people to actually talk about this huge problem, but her solution is limited by current political realities and tries to fix it by going after the symptom and not the root cause.