Clintonism, Monicagate and the budget

Doug Henwood dhenwood at panix.com
Tue Feb 9 15:30:03 PST 1999


curtiss_leung at ibi.com wrote:


> Exactly how would a debt paydown slow/shrink growth?

Because it's fiscally contractionary, sucking up purchasing power - if you believe in Keynesianism - making growth slower that it would otherwise be. Keynes has a passage in the Treatise fantasizing about a lovely paradise that's spoiled by a thrift program.

Doug



More information about the lbo-talk mailing list