A Quote by Myron Scholes
Keynesian modelling relies on marginal propensity to consume and marginal propensity to invest. The idea that if we give more money to the poor, they have a propensity to consume that's much higher than the wealthy, though I wish they would talk to my wife about that; she seems to have a propensity to consume.
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Requiring the payment of higher wages will lead to a loss of some jobs and a raising of prices which drives companies to search for automation to reduce costs. On the other hand, those receiving higher wages will spend more (the marginal propensity to consume is close to 1 for low income earners) and this will increase demand for additional goods and services. Henry Ford had the clearest vision of why companies can actually benefit by paying higher wages.
The propensity to swindle grows parallel with the propensity to speculate during a boom the implosion of an asset price bubble always leads to the discovery of frauds and swindles
The psychology of the saver and the psychology of the investor is very closely connected with Keynes' distinction between risk and uncertainty. When the future is uncertain, he thought that a lot of saving would be directed towards securing, securing more, getting more security in the present, rather than building wealth in the future, which was the classical view, you save in order to invest, in order to consume more later on. What he had called the propensity to hoard or liquidity preference would normally be stronger than the inducement to invest.
It seems that we have been born only to consume and to consume, and when we can no longer consume, we have a feeling of frustration, and we suffer from poverty, and we are auto-marginalized.
With the exception of the instinct of self-preservation, the propensity for emulation is probably the strongest and most alert and persistent of the economic motives proper. In an industrial community this propensity for emulation expresses itself in pecuniary emulation; and this, so far as regards the Western civilized communities of the present, is virtually equivalent to saying that it expresses itself in some form of conspicuous waste.
We never fought for the popular vote. There was no economical reason, and there was no reason based off the system of our Constitution to do so. We needed to win 270, and to do so we needed to win in certain states, and we needed to target registered voters that had a low propensity to vote and propensity to vote for Donald Trump if they come.
In twenty-first-century America, our stories have become one and the same: we work to consume, we live to consume, we are what we consume.
Nevertheless, if we contemplate a society with a somewhat stable wage-unit, with national characteristics which determine the propensity to consume and the preference for liquidity, and with a monetary system which rigidly links the quantity of money to the stock of the precious metals, it will be essential for the maintenance of prosperity that the authorities should pay close attention to the state of the balance of trade. For a favourable balance, provided it is not too large, will prove extremely stimulating; whilst an unfavourable balance may soon produce a state of persistent depression.
Single women have a dreadful propensity for being poor. Which is one very strong argument in favor of matrimony.
Ivy Hisselpenny was the unfortunate victim of circumstances that dictated she be only-just-pretty, only-just-wealthy, and possessed of a terrible propensity for wearing extremely silly hats.
There seems to be a great propensity in this business to write tear-jerkers, 'You-left-me' songs. I thought, 'Why don't I count my blessings by looking at what I have?' I'm pretty much an optimistic guy.
Man is a money-making animal, which propensity too often interferes with his benevolence.
A celibate clergy is an especially good idea, because it tends to suppress any hereditary propensity toward fanaticism.
Allowing those who turn 18 by the general election the right to vote in primary elections will kick start voter education much earlier. And when people start voting at a younger age, they are more likely to become higher propensity voters and be more engaged in their communities.
If top marginal income tax rates are set too high, they discourage productive economic activity. In the limit, a top marginal income tax rate of 100 percent would mean that taxpayers would gain nothing from working harder or investing more. In contrast, a higher top marginal rate on consumption would actually encourage savings and investment. A top marginal consumption tax rate of 100 percent would simply mean that if a wealthy family spent an extra dollar, it would also owe an additional dollar of tax.
The propensity to do good things is a choice.
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