INSTRUCTIONS
The discussions are set up as “Must post first”.
Read the articles:
Wait, Is Saving Good or Bad? The Paradox of Thrift by E. Katarina Vermann
Interest Rates, Aggregate Demand, and the Paradox of Thrift by Muddy Water Macro
The Paradox of Thrift by Justin Fox
The Paradox of Thrift by Kenneth Davidson
Was Keynes Wrong About Saving? by Colin Twiggs
Pdf. file with the article are also posted in Content – Week 3 – Articles for Discussion Week 3.
In your initial response to the topic you have to answer all questions.
- What is the paradox of thrift? Is it real? Is Saving Good or Bad?
- Give an example of the paradox of thrift.
- What is the reverse paradox of thrift?
- Reflection
The students also should include a paragraph in the initial response in their own words, using macroeconomic terminology, reflecting on specifically what they learned from the assignment and how they think they could apply what they learned in the workplace or in everyday life.