But nothign else pensions do creates jobs – or manufacturing or anything else. Credit does that – and Davis shows himself to be economically ignorant (sorry to be so blunt – but it seems like a statement of truth to me) to argue otherwsie.
No wonder we have no manufacturing then – we’re clueless about how to fund it, and repeat that cluelessness on television to ensure that people remain in ignorance.
Agreed that credit allows you to expand production, create jobs.
But you just try getting some credit without any equity.
Indeed, we don\’t actually want anyone to get creidt without equity there to absorb at least the first chunk of any possible losses.
And that\’s the bit that The City/pension funds/stock markets provide.
The equity which underpins all credit allocations.