Tuesday, February 9, 2010

Cause of the Economic Crisis


Ettore Gotti Tedeschi, president of the Institute for the Works of Religion (aka the Vatican Bank), said that the cause of the current world economic crisis is not bankers.

"The true cause of the crisis is the decline in the birth rate,” he said in an interview on Vatican Television's "
Octava Dies."

Ettore Gotti Tedeschi

With a population growth rate of two children per couple -- or 0% -- Western society has shorted itself of workers. With fewer young people in the work force, there are not enough funds available to care for retirees and pensioners, savings are diminished, and material and technological development is compromised.

For a time the lack of economic growth was compensated for by the use of financial instruments such as an expansion of available credit. This technique of applying stop-gap solutions eventually resulted in the economic crisis we are facing today.

Now, Gotti Tedeschi said, "the only way to rebuild economic-financial balance is austerity."

Indeed: the solution is to eliminate debt and have children.


Kindred Spirit said...

So, essentially, it comes down to this: selfishness is at the root of the problem, and only selflessness will solve it. That, and the restoration of the Faith.

Mary said...

An older gentleman viewed our herd of children at a public place (they were behaving!) and made a snide comment to my husband, along the lines of 'what are you thinking having all those kids?' My husband made him smile a great deal by replying, "Single-handedly saving social security for people like you!"

Nice Post Sean, makes sense.