Over-Saving Caused The Economic Crisis

As the United States struggles to revive its stagnated economy, James Livingston defies conventional wisdom about saving and economic growth. In Against Thrift: Why Consumer Culture is Good for the Economy, the Environment, and Your Soul, the Rutgers University history professor argues that consumption, not private investment, is key to spurring the economy. Citing the historical record of past collapses, as well as the civil rights and labor movements, Livingston argues that consumer culture is vital not only for the success of capitalism, but for democratic society as a whole. Livingston recently spoke with U.S. News about the economic crisis and how to turn the economy around.