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The problem was not one of supply, Posen suggested, but rather of demand.
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The reason, rather boringly, is lack of demand.
Maybe, then, if it is true that we laugh less, it is a question of demand rather than supply.
John Maynard Keynes, the British economist, explained the new dynamic, and the importance of demand rather than supply in restarting the economy.
Germany's bond-market mishaps reflect the rigidities of the auction process rather than a lack of demand for its bonds.
Countries like China may need to look to consumption from their growing middle classes as a source of demand, rather than government-led investment and infrastructure projects.
These reports have led to a debate about whether such mismatches, rather than a shortfall of demand, explain both the outsize increase in unemployment in the Great Recession and the disappointing pace of recovery.
The US is seeing solid growth and decent levels of job creation; Beijing seems to be in control of China's economic slowdown; and plunging oil prices reflect an oversupply of crude rather than a lack of demand.
But we are not referring to the stretchiness of the waistband but rather the income elasticity of demand.
Countries should develop their capacities in environment concerning industries where there is a scope of considerable expansion of demand rather than concentrating on polluting industries where there is considerable excess capacity in advance.
Rather than a lack of demand, these unsold tickets for high-profile events are the result of the latest trend in the ticketing industry — making sure you have tickets to sell when fans want to buy them.
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