Steve Keen on private money creation and the myth of fractional reserve lending
Welcome to Capital Account. Just 30 percent of S&P 500 companies beat top-line expectations, while about 65 percent beat earnings expectations in the third quarter, according to Bloomberg. Also, half of the nation's 40 largest publicly traded corporate spenders have announced plans to reduce capital expenditures this year or next, according to a Wall Street Journal review of securities filings and conference calls. The report also found that US companies are scaling back on plans to invest at the fastest pace since the Great Recession. Since companies are cutting costs and spending, what impact will this have on a US recovery? We talk to Steven Keen, author of ‘Debunking Economics,’ about the indicators of a sustainable economic recovery.