Withholding versus withdrawing

Withholding versus withdrawing


Most of us learned about the fallacy of composition in our economics courses. In times of crisis, it is natural and logical for individuals, households and businesses to cut back on their spending where possible. This increases their reserves and improves the chances of weathering an unexpectedly severe setback without financial embarrassment.

For the system as a whole, however, this reaction can magnify an economic contraction and worsen financial stress. It is largely on this basis that govern

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: