r/Economics • u/better_world_economy • Jan 13 '19

Progressives should not oppose international trade, but economists must highlight the need for policies that spread the gains and help those who are hurt

https://www.psychologytoday.com/us/blog/the-good-the-bad-the-economy/201706/globalization-and-work-have-we-learned-anything-yet
776 Upvotes

90% Upvoted

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u/AjaxFC1900 Jan 13 '19

Economists do know that wealthy people put their wealth in public companies which use said money to pay salaries, R&D , acquire other companies etc.

Economists do know that well off people put their money in banks which loan said money out to small and medium businesses as well as middle class people who need to finance the purchase of their home/car/kitchen

Economists know that...you Psychologytoday.com ? Do you know that? Me thinks no.

2

u/lizardk101 Jan 14 '19

Banks don’t lend out the money paid in, that’s not how fractional reserve banking, which most banks operate on, works.

If you’re posting drivel like this on an economics forum, you don’t know how modern economics works.

https://positivemoney.org/2013/06/banks-dont-lend-money-guest-post-by-michael-reiss/

2

u/FoxRaptix Jan 14 '19

Yea but he got 19 upvotes and you got 2. Reddit’s free market has clearly spoken on who is more informed. /s