consumes what is already produced. Shopping only helps when there is enough products made to meet the
shoppers demand. That production comes from saving and investment. Shopping gives an incentive to save
and produce but by itself means nothing. Does wanting a computer make one come out of thin air? No, it
must be produced by somebody who has enough savings to make it.
This argument that only producing, not consuming grows the economy comes from Jean-Baptiste Say when he argued against Thomas Malthus.
Think about it, human beings have been wanting things for thousands of years. But most of those desires like food, shelter, and water until very recently had never been met. Those needs were met only when the resources and the capital to produce them were available.
I can agree with what you are saying here...i doubt we will see much report wise about production heading into the fourth quarter and Christmas season though that's what is needed to justify any claims of a growing economy. If producers could show that their output was higher than the previous few seasons, or that new products were introduced then we could have some optimism. What i see in stores is the same ole products made from the same old machinery- cost effective and safe when you dont trust or dare accrue the costs of product launches.
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