The Tug-of-War in Finance

Your entire financial life is trapped in a tug-of-war between two different realities.

You have the Real Sector, which is actual stuff like factories and jobs,

and the Money Sector, where banks just move numbers around. Keynes proved we only hold cash because

we are scared or gambling on interest rates. But here is the glitch.

Sometimes interest rates hit rock bottom and we enter a Liquidity Trap. Suddenly,

printing more money does absolutely nothing because everyone is too afraid to spend

it. If these two worlds don't find equilibrium, the whole economic engine just stops

running.