Which brings me to the vital part of the economy I mentioned before. It is the economic engine room of any economy that these stimulus measures are harming. Namely enterprising small businesses.

When government says it is stepping in to save the economy, what they really mean is they are stepping in to prop up big businesses. Because it is those companies that will make it to the TV news and the newspapers if/when people start losing their jobs.

The economy needs to contract. In this way, the small and nimble enterprises that survive can take advantage of a depressed economy. Companies that are young or don’t even exist yet can pick up the pieces and bring innovation and real growth to the economy.

Quelle: The Economy Needs REAL Growth

the world’s lenders are eager to make loans to the world’s biggest debtor; they don’t trust anyone else. The world’s biggest debtor, meanwhile, lends to the people private lenders don’t trust – the borrowers who can’t pay the money back.

Quelle: Substantial Doubt

Indeed, there’s increasing evidence that most of the real „crash“ has already happened, and what we are seeing now is the expanding wave as it makes it’s way through the economy.

Quelle: Bailouts, Burnouts and Non-Linear Innovation – O’Reilly Broadcast