I'm rather lucky with the calibre of my blog members, and that's been in evidence in the discussion over Krugman here in the last few days. One comment by Andrew Lainton simply has to be shared more widely: Welcome to London Steve I hope people have spotted that Krugman isnt simply proposing a loanable funds approach to banks, where loans are based on the inflow and outflow of savings by saying that banks 'must buy assets with funds they have on hand' he is going back to a mid 19th century wages More

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