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URL:  http://boards.fool.com/it-seems-to-be-a-commonly-held-idea-that-people-12330963.aspx

Subject:  Re: Ten Mental Exercises Leading To Freedom Date:  4/3/2000  3:37 PM
Author:  kiddal Number:  7392 of 740021

It seems to be a commonly held idea that people must waste money for our economy to thrive...

In economics, I think this is called the Paradox of Thrift.

The basic idea is that as people (collectively) save more (beyond a certain point), total savings would go down. This would be due to a shrinking economy.

There are many industries which are not "needed" but still thrive. I suppose, in a sense, any industry not dealing directly with food, shelter or healthcare could be deemed a waste.


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