| SamuelRSmith said: As much as I loved that Remy rap, I have no idea what it had to do with your post :P |
Hah general point being the problem with Keysnian economics that all the demand it creates is temporary... or long term but largely unwanted.
As an example, a lot of roads in the US are going to gravel. Senators put them in to get funding money for their disctricts... but nobody in the area actually wants them so they aren't willing to pay for it.
WW2 gave the US a monopoly in a lot of major areas, while the huge increase in "fairer" trade deals helped out Europe.
Additionally WW2 created a lot of pent up demand due to conservation.
For example, anyone who wanted to buy a car during WW2... couldn't. This is essentially the exact opposite of a stimulus, because instead of demand being pulled foward, it was pulled backwords and growth kept on largely because of limited capacity.
Products people avoided for patriotic reasons they now wanted more then ever... etc.
Either that or something else greatly effected private demand.
Afterall, the end of WW2 was supposed to cause a double dip according to most keynsians. Well... triple dip i suppose.
EDIT: Misread what you said. By causing people to buy more expensive lightbulbs a lot of people don't want it's creating a more expensive demand.
