Friday, September 09, 2011

Why Companies Are Not Investing

By Douglas V. Gibbs

A liberal told me today that corporations are sitting on piles of cash, and aren't willing to spend it - then asked me if I know why that is, as if the liberal has some inside track.

The fact is, the reasons the liberals think that is happening, be it greed, or "not enough demand" from failed Keynesian economic tactics, is totally wrong.

It largely comes down to uncertainty.

But rather than myself illustrating this, how about a professor from Yale, who was surprised when he was schooled by a business owner about the reality of owning a business, and the reasons, or lack thereof, for taking a step forward to grow the business:

Carter: Economic Stagnation Explained, at 30,000 Feet - Bloomberg

-- Political Pistachio Conservative News and Commentary

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