James, I don't think we are going to agree. First, I said that capital goods are a stock not savings. Secondly, I just reported what Solow and others who have done serious work in growth theory have concluded. If you think Solow is wrong (and I'm no Solow fan) then refer your arguments to his work. In regard to Keynes and consumption and investment. Keynes's discussion of "The Propensity to Consume," Book Three is only 43 pages. "The Inducement to Invest," is 114 pages. And Keynes actually says, "employment directly employed in investment as the primary employment" GT, p. 113. The consumption expenditure was simply a derived and passive. Investment, on the other hand, was quite dynamic. Keynes, in my opinion, was really a monetary economist. Have to go.... -Ric Holt