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Let me start from the bottom up. "[...] is there a bigger picture which I am missing that all this global recession can be a planned activity by major economies every few years/decades to achieve something bigger?" No, global recessions usually hurt all economies and though in theory one can come up with an example where someone might benefit from a global ...


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Luxury goods tend to be Veblen goods, so reducing taxes on them doesn't make them more attractive. They also tend to be goods whose value is mainly based on scarcity, so increasing demand doesn't increase the amount supply, it just increases the equilibrium price. If diamonds were cheaper, would there be significantly more diamond jobs? There's the ...


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The increase in savings you described does happen, in the short-run. Remember, tho, investment and savings are flows. Accounting identities provide us truths about their ex-post behavior, not planned or desired savings.


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It depends what formula you apply. If we apply the formula as laid out by Philippe Van Parijs and Yannick Vanderborght to the United States, for a UBI consisting of 25 percent of GDP distributed on a per-capita basis, amounts to a new entitlement program costing $4.8 trillion dollars per year at a time when the United States is already facing a $1 trillion ...


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1. Governments can raise taxes. Governments can compel a large swathe of the population to give it unrequited transfers known as taxes. Households cannot. 2. Governments can print money (at least those that enjoy monetary sovereignty). Governments can print pieces of paper that will be gladly accepted as payment for goods and services. Households cannot. ...


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