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The most recent period of stagflation in the U S. occurred during the [[Jimmy Carter|Carter Administration]] in the late 1970s. Saving money becomes impossible, because the cost of living increases faster than the value of any investment return in a no growth environment.
The most recent period of stagflation in the U S. occurred during the [[Jimmy Carter|Carter Administration]] in the late 1970s. Saving money becomes impossible, because the cost of living increases faster than the value of any investment return in a no growth environment.
And without savings, new job creation becomes impossible. People consume whatever they produce as fast as they produce it,<ref>or "[[prodigal]]ity," as [[Adam Smith]] referred to it.</ref> because money becomes worthless if you hold onto it (like a game of Hot Potato, or an ice cream cone melting in your hand). This is much of the theory behind [[Keynesian economics]] and [[stimulus]] spending.
And without savings, [[Job growth|new job creation]] becomes impossible. People consume whatever they produce as fast as they produce it,<ref>or "[[prodigal]]ity," as [[Adam Smith]] referred to it.</ref> because money becomes worthless if you hold onto it (like a game of Hot Potato, or an ice cream cone melting in your hand). This is much of the theory behind [[Keynesian economics]] and [[stimulus]] spending.
While goods are being consumed as fast as they are produced, people with money - workers and those on the entitlement dole - receive value for their money at that day's current prices; however, no one can ever advance or realize a gain. Those without money - the unemployed without access to the government dole - suffer incredible hardship. This leads to increased demand for more government socialist spending in a society that already is becoming "[[progressive]]ly" impoverished.
While goods are being consumed as fast as they are produced, people with money - workers and those on the entitlement dole - receive value for their money at that day's current prices; however, no one can ever advance or realize a gain. Those without money - the unemployed without access to the government dole - suffer incredible hardship. This leads to increased demand for more government socialist spending in a society that already is becoming "[[progressive]]ly" impoverished.