Legal tip 601. So simple
Saturday, September 24, 2011 @ 11:41 AM
Two statements today from this paper by the IMF Studies Center:
http://www.imf.org/external/pubs/ft/wp/2010/wp10268.pdf
"The United States experienced two major economic crises over the past century—the Great
Depression starting in 1929 and the Great Recession starting in 2007. Both were preceded by
a sharp increase in income and wealth inequality, and by a similarly sharp increase in
debt-to-income ratios among lower- and middle-income households".
"(...) Many have stressed the roles of excessive financial liberalization and of asset price bubbles, but it can also be argued, as done in Rajan (2010), that much of this was simply a manifestation of an underlying and longer-term dynamics driven by income inequality".
Economy needs to be reoriented towards promotion of full dignity of all people and not to the benefits of few. That is the simple key for future sustainable and happy growth! So simple!
Have a great weekend!
María
"Ronda", Ronda - Málaga, Spain, by Werkmens, at flickr.com