We Need the Pain that Comes with More Saving

The endgame of monetary side manipulations is upon us. Since 2008, central banks have done what they thought was needed to bring the markets back from the pain they experienced during the crash. The problem, of course, is that these Keynesians and Monetarists placed the high level of stock markets as the goal of “policy” and confused booming asset levels with economic growth. The enemy of prosperity, in the eyes of global economic policymakers, is the desire of the consumer to save and  businesses to refrain — even in the short term — from investment. As such, their “solution” was the very poison that has infected the Western world over the decades: more credit, lower costs of money, more push for “consumer demand.”

The proper economic way of thinking does not blame the economic pain on savings, nor does it desire an artificial, government-driven, attempt to coax people into consuming and “investing.” In fact, the economic reality of the situation is that savers are to be praised, not admonished; and that the refraining from consumption is the very means by which malinvestment can be most swiftly liquidated. March 16 https://mises.org/library/we-need-pain-comes-more-saving

This article from the Mises Institute, Auburn, Alabama comes just days before a T-square between Venus – Jupiter – Saturn. As the square tightens, there are three exact aspects (a) Venus-Jupiter opposition (b) Jupiter-Saturn square and (c) Venus-Saturn square. Charts for each of these can be meaningfully analyzed. Presented here is the chart for the Venus-Saturn square at Auburn. Notice that the T-square  straddles the meridian exactly and therefore  is conveying its message at this place Venus-Jupiter aspects are about rich living, extravagance and expenditure while Venus-Saturn is about savings and thrift. . Here since Saturn is at the apex of the T-square it  holds the key to the solution of the dilemma posed by the T. So the author rightly concludes that  not over consumption but savings and thrift are the right answers to the current problems.