See Figure 51 from MES (Murray Rothbard). The intersection of demand-for and supply-of present goods’ curves does not imply the level of saving (x-axis), but rather the amount actually transacted in the time market at the equilibrium interest rate (y-axis): the quantity of present goods transacted (x-axis) might increase, decrease, or stay the same depending on the shapes of the curves. But the point is that the real behavioral change—more saving—is still present. In short, the lowering shift of time-preference schedules means the increase in saving.
Related:
- 13-5c The capitalists’ money for investment must be first saved
- On saving proper:
- 13-5b1a Saving is not necessarily a monetary phenomenon—the restriction of present consumption constitutes saving
- 13-5b1b Saving cannot be exhaustively measured in monetary terms
- 13-5b1c Saving is fundamentally about foregoing things that could’ve been done—it’s about choosing one specific timeline over others