SOME COMMENTS TO THE DISCUSSION ON THE EUTHANASIA OF THE RENTIER
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This paper concerns the Keynesian topic of the Euthanasia of the Rentier. The author summarizes discussions appearing throughout the second half of the 20th century and concentrates on recent reflections on this topic. He develops a micro economical foundation of the accumulation of capital indicating important linkages between the concepts of abstinence loss, varying levels of rentier consumption and slow convergence of the abstinence loss curve to zero. The outcome of the model offers an explanation of the capital accumulation process in the course of reducing interest rates and supports the feasibility of the reduction of interest rate to zero. However, recent studies on the rentier income share give no evidence about the rate of capital accumulation reaching the Euthanasia of the Rentier.
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