Quote of the Month

keynes As our screamingly decrepit and hidebound overclass sets up camp atop its record piles of hoarded cash, let us recall what John Maynard Keynes concluded at the end of his magnum opus:

“I conceive, therefore, that a somewhat comprehensive socialization of investment will prove the only means of securing an approximation to full employment; though this need not exclude all manner of compromises and of devices by which public authority will co-operate with private initiative.”

Notes from the Economic Memory Hole

As this New Depression unfolds, one fascinating and important thing to watch is the degree to which our overclass believes its own bullshit, despite the many reasons — not least being what you’d think would be the most obvious lessons of not-distant history — it should know better.

The steaming heap that weighs perhaps most heavily on the Business Brain is its insistence that the rich can never be too rich, that excessive wealth accumulation by a small class of major investors can never be a problem, that workers can be over-exploited.

Michal Kelecki and John Maynard Keynes dismantled the intellectual form of this childish denial more than seven decades ago.

“Michal and John who?,” feign John Q. Sharehold III and President Hopington and his experts today.

For an excellent little piece of observation on the continuing reign of “supply-side” dogma, see Al Schumann’s excellent post on today’s SMBIVA.