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| Graph #1 (Markup not intended to look like Amazon smiles!) |
| Blue: | (TCMDO-FGTCMDODNS)/FYGFD |
| Red: | TDSP/3 |
| Green: | TCMDO/M1SL |
After the little dipper of the 1990s, the economy was for a time rather good.
After the big dipper we are currently in, the economy again will be rather good. Probably for a longer time than with the little dipper, and maybe more than rather good.
Not marked up on the graph, the early years of the blue line (up to the mid-1970s) show what happened as our economy emerged from the monster dipper that goes back to the Great Depression. The economy was really good. But debt accumulated, and eventually it caused problems. We must contain finance.
We must contain finance but not growth. I am therefore forced to conclude that raising interest rates is the wrong way to contain finance.
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