the MIW don't give a shit...
they have their pound of flesh and the numbers get added to the
GDP...
as long as the GDP goes up, they can say "economy booming"
that's the fallacy of "economies"
if i can save most of my pay by being thrifty, spend just on the
essentials, be well and live a simple life, i'm not adding to the
economy...
if i spend most of my wages buying shit i don't need, end up
being sick and costing my insurance (if i buy some) a shitload
because of illnesses my lifestyle brings about, everything spent
ends up being part of the GDP... "good for the economy"
That's only one view within economics.
The Keynesian's Paradox of Thrift.
But if we look at neoclassical economics, saving is good,
because saving in banks => more to invest.
And leading simple life => less likely to get boom-bust
economy.
Ultimately of course, all these are views, with interesting
applications, but we should know what we should do as individuals
and for others around us.
