House of Paine

adventures of the reserve army

  how big is best

whats optimal size 

when it comes to
the mass of  joblessness

the famed " reserve army "


=================


obviously 

theres always
both 
a  too much point
and 
a too little point

and time and circumstances
 effect 
where these dual points rest


the safe stable  pathway
betwixt these two
is hardly  reducible
to 
an unchanging thumb rule

say like 
keep it around  
 6 % and your safe 
nope 
no such 
proposal has value

cause real conditions change so

the path   width may vary 
and 
even its location 
meanders
 over time

even
 like after 29
take a super sharp shift

or like after 41 an equally sharp shift back 

-------------------------

its always a two headed struugle
for dominance 
a 
 klass v klass
  policy struggle

but then 
social  reality 
does set limits too

only not the natural limits
the reserve apologists 
like to lulla bye
conscience  burgers with

--------------------------------

take the old 
scientifically derived
official minimum reserve rate 
of the 80's and 90's 

6 %


 well
as we glided into
the high 90's
we  went right thru 
 6%
with out creating
 predicted
 economic 
 nite mare 
 of  
wage push 
induced

price turbulence 

turned out 
descending below 
the 6 %
 barrier
  never caused a ripple in the price level
in fact the inflation rate just continued
 its decceleration 

-------------------------

so what the fuck was the green grosser up to ?

 minimal real wage growth perhaps

managing for that isn't childs play

not with  consumer demand management 
thrown in on top 

----------------------------------------

to be continued

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