Chapter 11 Post and Reply

The paradox of thrift is also known as the paradox of saving. Basically it is saying that if everyone saves money, and no money flow is going through the economy, then the economy will fail. But the biggest opposition to this paradox is putting money in banks, a singular group of people saving money, or reckless consumerism. In other words, the paradox of thrift is saying that if you save more now, you might have to spend more later.