ABSTRACT
The strong support of self-financing in Austria clearly has a pernicious effect on the savings accounts of the private and public households. The sums that business is able to reinvest out of its own account cannot appear on the accounts of the other sectors. The policy of fiscal investment incentives is spurred by the desire not to let growth and full employment go down the drain because of investor reluctance to go into debt and thus from this angle as well avoid any possible destabilization. In addition to the inadequacy of private household savings, the underinvestment countries of the Third World and the comparatively wealthy overinvestment country of Austria have yet another thing in common—a relatively weak capital market. Austria's surplus of real investment-capital formation over the simultaneous nominal savings or money-capital formation might be considered an artificial contraction, or more properly "amputation," of its money economy.
