Re: Rep Paul Ryan of Wisconsin answers the Jesuits at Georgetown
he could draw the graphs and explain the mathematics of economic growth with incredible clarity
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There are also clear and simple equations describing how demand is related not only to income but wealth that explain why when the value of middle class homes and 401K's are slashed by 30-50% it can cause lingering recession until equilibrium is restored.
There are also clear and simple equations describing how household debt generates demand that explains why the economy is sluggish as households deleverage after their haircuts in 2008-2009.
There are also clear and simple equations describing how household debt translate into corporate profits.
There are also clear and simple equations that explain how corporate profit margins and absolute profit are at record highs in spite of the fact that household income is down and households are deleveraging, namely, the slack is being taken up by government deficit spending.