Council of Canadians

DANIEL.DAVIES at flemings.com DANIEL.DAVIES at flemings.com
Fri Apr 7 02:13:20 PDT 2000



>> I should add that if the point of borrowing from a central bank is to
>increase investment, and thereby growth over the long term, then there
has to
>be a diversion of current resources out of consumption.


>The point, at least the one that some of the COMER folks advocate, is that
the
>central bank should be used to pay off the debt... then, later (if
necessary),
>to finance public sector stuff (health care, education, food
production...).
>Basically, it is limited to the "material" things that Marx pointed too -
sorta
>a brute materialistic ethic as far as I can tell...


>ken

Sounds to me that the Council of Canadians are involved in a fairly old game -- calling for a Keynesian monetary expansion to create a short-term boom, and trying to pass it off as long-term growth (Rakesh asked a question last week about central bank "accomodation" of fiscal policy -- that's what the CoC are asking for).

dd

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