Thread: American debt
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Old 10-06-2004, 04:27 PM   #16
Bring_Back_Shantz
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Quote:
Originally posted by arsenal@Oct 6 2004, 03:50 PM
What I probably should of stated is that I am refering to a market / capitalist economy. Yes, if the government spends money on roads and what not, they will create jobs, in the public sector. This doesn't affect the private sector as much.

So yes, in certain areas, government spending money has a direct effect on the economy. Same with government taking away money has a direct effect on the economy. So in that aspect, I stand corrected.

But one cannot survive on public enterprises alone.
The government contracts most of that work out to private contractors, so yes it does have a rather large impact on the private sector.

Oh, you meant in a market/capitalist economy? Okay, is that the kind we have now in Canada (admitedly a little socialist), where we've already seen that the government has a pretty large impact on the economy, the one in the states (A little more market/capitalist) where we have also seen that the government has a pretty big impact on the economy (cause it works the same way it does here) or a true capitalist economy where the government has absolutey no role in spending and the economy. If you are refering to the last of the three choices (The one that doesn't exist) then I guess I'll have to agree with you becasue that is pretty much THE BASIC IDEA BEHIND THE WHOLE THING, but that is like me arguing the oposite, and using communism as an example.
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