Re: imcu questions

[Bruce McFarling <ecbm@xxxxxxxxxxxxxxxxxxx>]

On 1 Jun 2002 20:32:44 -0500, Sat, 1 Jun 2002 21:37:39 -0400
"Gunnar Tomasson" <gunnar.tomasson@xxxxxxxxxxx> wrote:

>And, in technical terms, what does THAT mean?

>It means that newly created purchasing power placed in the hands of the
>unemployed will secure for them a piece of the pie at the cost of those who
>provided factor inputs to the baking of the pie - in other words, it is
>INCOME REDISTRIBUTION by monetary/govt. finance means.

Surely this is assuming that the resources required to satisfy
the newly created purchasing power are already employed?  Leaving
to one side, of course, the shrinkage of the pie due to the
efforts of wealth holders to sabotage the policy.


--
Dr. Bruce R. McFarling, PhD
Bus. Office 1.72 -- (02) 4348-4078
School of Business
Faculty of the Central Coast
Newcastle University, Ourimbah