Doug Henwood wrote:
> U.S. corps have accumulated vast amounts of cash over the last couple of decades, much of which they've passed along to shareholders through dividends, buybacks, and takeovers. So a lot of money has passed from the "real" sector to the financial.
Aggregate income in a period is identically equal to aggregate expenditure in the same period. To have some part of aggregate "saving" in a period accumulate as cash is to have aggregate income exceed aggregate expenditure by the amount of the accumulated cash. How is this possible?
Ted