For the Keynesian enthusiasts: The Phillips Machine

In the front right corner, in a structure that resembles a large cupboard with a transparent front, stands a Rube Goldberg collection of tubes, tanks, valves, pumps and sluices. You could think of it as a hydraulic computer. Water flows through a series of clear pipes, mimicking the way that money flows through the economy. It lets you see (literally) what would happen if you lower tax rates or increase the money supply or whatever; just open a valve here or pull a lever there and the machine sloshes away, showing in real time how the water levels rise and fall in various tanks representing the growth in personal savings, tax revenue, and so on. This device was state of the art in the 1950s, but it looks hilarious now, with all its plumbing and noisy pumps.

http://judson.blogs.nytimes.com/2009/06/02/guest-column-like-water-for-money/

Looks interesting. What if you run out of water ?

Or what if you don’t run out because you can make endless supplies of water out of thin air so instead you just keep pumping in more and more water at higher and higher pressures?

Ahh yes: “supplying liquidity”!