SAVING DOES NOT EQUAL INVESTMENT John Maynard Keynes confused economists and politicians all over the world when he … wrote, “Saving is necessary to equal investment” together with a few equations to confirm his idea and finally concluding … that S = I. There have been repeated discussions about how saving can equal investment, accidentally or with certainty. We …

Recently, many economists have credited the late-1990s economic boom in the United States for the easy money policies … positive effect on the chronically weak Japanese economy. Therefore, some theory of how money affects the economy when it is …) investment; (2) consumer spending; (3) the exchange rate; and (4) financial markets. The theories of such authors as Kalecki …