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You can't invest everything you have, that generates bad investment decisions that doesn't generate products that the market actually demands, it destroys the economy

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Note that on the aggregate, all savings are either investment (infrastructure/inventory etc), or some form of promise/IOUs from others (indirectly backed by their future labor). A certain amount of promise type savings is normal for inter generational consumption transfers (retirees depending on the young working instead of them).

But when too many people's savings are in the form of promises and everybody owe each other their savings, do people really have much savings?

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