Post
Topic
Board Economics
Re: The economy is bad because the poor have no money.
by
Money bag
on 20/01/2025, 08:27:08 UTC
The economic recession isn’t due to a lack of money in the market, but because the poor have no money. Essentially, the money isn’t circulating; it’s all been stuck in the banking system, turning into deposits and low-risk assets. No matter how much money the rich have, their consumption is still limited.

On the other hand, the poor want to spend but have no money, which gradually leads to excess production capacity in the market. This causes companies to start competing in a race to the bottom, driving profits to dangerously low levels, which sets off a vicious cycle. As company profits decrease, they scale back and lay off employees, making the poor even poorer, and savings become too risky to touch.

The problem we are having in this our economy, concerning the poorness of the Masse's , is because wen the economy is bad ,it affect the poor the more , because more of them are traders, which they can't cope in a bag economy.
Mostly wen the government is corrupt, the rich will be getting richer them the poor will be getting poorer.

In our economy now the rich don't like helping the poor again, so bad.