this post was submitted on 16 Jun 2025
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chapotraphouse
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You use militias to force the economy to focus on military production, ration some products, and temporarily suspend market mechanisms to ensure everyone has food, and basic necessities.
As the crisis ends, you switch to other economic activities, while still keeping aggregate demand high by investing in productive equipment, without the need for market mechanisms like loan financing. Untill you end up with infrastructure spending.
Basically the Soviet model during WW2.
Ploughshares -> Swords (T-30/40s) -> Ploughshares + Swords