Re: Uncertainty and Liquidity Preference

["f.c. maclachlan" <cameron0@xxxxxxxxxxxxx>]

Ted Winslow wrote:

> snip
> Moreover, on Keynes's premises isn't it practically certain that holding
> money for a long time (the only way of using money to avoid the invariant
> fundamental uncertainty of long run future yields on capital assets) will
> be a losing proposition since the only practical way, according to Keynes,
> of preventing the claims of accumulated rentier wealth from becoming, in
> the long run, an unbearable burden on the "active classes" is through
> inflation?
>

do you have a citation for that?

certainly it represents a turnaround from his 1919, better known statement:

    Lenin was certainly right. There is no subtler, no surer
means of overturning the existing basis of society than to
debauch the currency. The process engages all the hidden forces
of economic law on the side of destruction, and does it in a
manner which not one man in a million is able to diagnose.
http://socserv2.socsci.mcmaster.ca/~econ/ugcm/3ll3/keynes/peace

on liquidity preference, i'd recommend reading shackle, esp.
Epistemics and Economics (1972) and Keynesian Kaleidics (1974).


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f.c. maclachlan, manhattan college
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