inequality and growth

I tend to side with Krugman here if I understand the debate correctly.

Inequality and demand by Steve Randy Waldman

Why Don't Rich People Buy More Yachts and Fewer Exotic Financial Products by Yglesias

Guest Post: “The Savings Rate Has Recovered…if You Ignore the Bottom 99%” by Andrew Kaplan, a hedge fund manager ("Naked Capitalism," 8.31.2009)

Why don't we have deflation? Increased debt? Extend and pretend?

(via Mike Sankowski who I confuse with Mark A. Sadowski. It's like with Waldman and Robert Waldmann.)