The origin of wealth; Keynes v Mises

Keynes put it that consumer spending is the source of wealth, leading to government loans (debt) to fund stimulus programs.
Contrary to that, Mises claimed that it is business investment that drives wealth.
That actually makes a lot of sense: without business investment, there is no employment opportunity for the consumer. Who therefore can not consume.
Even if somehow the consumer would find the wealth needed for some consumption, there would be nothing to consume (no factories produced anything), and no place to consume it from (no shops built to sell the product).
So there’s no point in indebting future generations, stealing from them before they’re even conceived or born.

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ludwigvanel

I am an author & an anarcharchist

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