> Brenner has this exactly backwards. It is the high rates of return in
> finance that first help, then later undermine manufacturing (so I
> guess it isn't exactly backwards but the idea that profits fell and
> then people began investing to make money makes no sense).
>
> I would also challenge Johanna on the notion that capital wants the
> economy to be doing well before the election. Mostly it wants to use
> its power to scare politicians to do its bidding and if that means
> risking the economy so be it (of course profits and high income
> investors are not really at risk).
>
-- Michael Perelman Economics Department California State University Chico, CA 95929
530 898 5321 fax 530 898 5901 http://michaelperelman.wordpress.com