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Author Topic:   Does fractional reserve banking lead to a cycle of perpetual debt?
NoNukes
Inactive Member


(2)
Message 31 of 56 (790139)
08-26-2016 10:24 AM
Reply to: Message 24 by Riggamortis
08-25-2016 1:22 AM


Re: The End Of The Dollar Means Crises In US
I honestly don't give a flying fuck if a few westerners miss out on their daily latte if it means the impoverished get a daily meal.
Hunger is a serious issue, but I have difficulty believing that the banking system is much of an issue regarding hunger. The fact is that Western cultures have an excess of food, and that most of them throw away food that would easily feed every hungry person throughout the world. It is also the case that there are hungry folks in the United States as well as in Africa.
If feeding the hungry is really your motivation, I think there are easier targets than the one you've chosen.
Edited by NoNukes, : No reason given.

Under a government which imprisons any unjustly, the true place for a just man is also in prison. Thoreau: Civil Disobedience (1846)
History will have to record that the greatest tragedy of this period of social transition was not the strident clamor of the bad people, but the appalling silence of the good people. Martin Luther King
I never considered a difference of opinion in politics, in religion, in philosophy, as cause for withdrawing from a friend. Thomas Jefferson

This message is a reply to:
 Message 24 by Riggamortis, posted 08-25-2016 1:22 AM Riggamortis has replied

Replies to this message:
 Message 32 by Riggamortis, posted 08-26-2016 1:30 PM NoNukes has replied

  
Riggamortis
Member (Idle past 2390 days)
Posts: 167
From: Australia
Joined: 08-15-2016


Message 32 of 56 (790144)
08-26-2016 1:30 PM
Reply to: Message 31 by NoNukes
08-26-2016 10:24 AM


Re: The End Of The Dollar Means Crises In US
Just to be clear, I am not attacking or blaming anyone who owns banks shares, for profiting off of the system as it stands. I have encountered resistance to these ideas about banks, because that's how people have felt. Or they see banks as good just because they receive a dividend. Or can lend money to make more money. I'm not saying that's where your hesitance/resistance stems from, just thought I should point that out, just in case.
Hunger is only one of many issues the west has firmly in the 'too hard basket'. That or the 'not profitable basket'. Is there a genuine reason we can't feed everyone? I concede that the banks don't appear to directly affect the issue of hunger. But consider the following and let me know if you disagree with anything.
Most new money is created as interest bearing debt.
This includes money lent to the governments of third world nations and indeed, our own western governments.
In the private sector banks have the power to decide where new money goes through their lending policies.
If you concede all those points, how can the banking system possibly not be having an impact on hunger? As you point out, there is enough food, but it doesn't get to the mouths whom need it most. You could say the exact same thing about money.
In a depression, there's still the same amount of people, capable of producing and consuming the same amount of goods, but they are jobless and homeless/hungry. Why?
Because money is created as though it has value, that for simply being created it should have interest attached, rather than being simply the means of organisation for human labour. If money were issued intelligently, based on productivity, less companies would become insolvent and shut down to begin with. Only a truly unprofitable business would go broke, rather than any company that has its debt called in/access to new money revoked.
The banking system as it stands is counter-productive(or far less than ideal) to human progression and therefore needs modification. To focus on any other issue before this is like turning the faucet on more, without putting in the plug.

This message is a reply to:
 Message 31 by NoNukes, posted 08-26-2016 10:24 AM NoNukes has replied

Replies to this message:
 Message 33 by NoNukes, posted 08-26-2016 1:55 PM Riggamortis has replied

  
NoNukes
Inactive Member


Message 33 of 56 (790146)
08-26-2016 1:55 PM
Reply to: Message 32 by Riggamortis
08-26-2016 1:30 PM


Re: The End Of The Dollar Means Crises In US
n a depression, there's still the same amount of people, capable of producing and consuming the same amount of goods, but they are jobless and homeless/hungry. Why?
If your job is making high performance automobiles, your ability to make those vehicles won't feed you if nobody is buying high performance automobiles (or buggy whips, or pet rocks). Retraining you may be difficult and it may well be that you cannot readily be trained to fill a job valued as high as your previous job. So simply a mismatch between your skills and those valued is enough to make you jobless, and possibly homeless.
I don't see how a particular banking system affects those kinds of inefficiencies. I'm sure that there are many sources of inequity in income distribution, some of which are the target of your ire. But certainly not all problems are of that sort.
In fact, you have yet to demonstrate to me that fraction reserve banking is the most important problem.

Under a government which imprisons any unjustly, the true place for a just man is also in prison. Thoreau: Civil Disobedience (1846)
History will have to record that the greatest tragedy of this period of social transition was not the strident clamor of the bad people, but the appalling silence of the good people. Martin Luther King
I never considered a difference of opinion in politics, in religion, in philosophy, as cause for withdrawing from a friend. Thomas Jefferson

This message is a reply to:
 Message 32 by Riggamortis, posted 08-26-2016 1:30 PM Riggamortis has replied

Replies to this message:
 Message 34 by Riggamortis, posted 08-26-2016 9:48 PM NoNukes has replied

  
Riggamortis
Member (Idle past 2390 days)
Posts: 167
From: Australia
Joined: 08-15-2016


(1)
Message 34 of 56 (790171)
08-26-2016 9:48 PM
Reply to: Message 33 by NoNukes
08-26-2016 1:55 PM


Re: The End Of The Dollar Means Crises In US
If you refuse to look at it from the macro perspective and instead insist only on looking at individuals within the system, then of course, I can never demonstrate anything about the system. I note that you have not actually contested anything I've said with anything but incredulity.
What actually changed to cause the depression? Why do people stop buying high performance cars? It's certainly not because they stop wanting them. It's because the banks have granted credit to everyone their lending policies will allow. As the amount of people willing/eligible to borrow drops off, less new money is being created and that is what -fundamentally- leads to recession.
When the private sector can no longer sustain more debt, the government MUST take on debt to prevent economic disaster. Due to the perpetual debt system, govt debt can only be repaid, when the private sector is taking on enough new debt to counteract the negative economic impact of the govt repaying it's debt.
I have heard that the right to print and issue money is granted only to congress in the US constitution. That may be more up your alley. Is that so? Congress just 'decided' that they, what? Couldn't do it? Didn't want the ability to fund the entire govt via the power to issue new money? Or was there just lots of money to be made privately, for essentially nothing. Is there a legitimate reason they can't do it? How can congress defer that power without an amendment?
Fractional reserve banking is the wealthy take all model of money creation and issuance, we need a better model. We the people have the right to a better model.

This message is a reply to:
 Message 33 by NoNukes, posted 08-26-2016 1:55 PM NoNukes has replied

Replies to this message:
 Message 35 by NoNukes, posted 08-26-2016 10:16 PM Riggamortis has replied

  
NoNukes
Inactive Member


Message 35 of 56 (790172)
08-26-2016 10:16 PM
Reply to: Message 34 by Riggamortis
08-26-2016 9:48 PM


Re: The End Of The Dollar Means Crises In US
I note that you have not actually contested anything I've said with anything but incredulity.
Your accusation is wrong. I provided some arguments that you agreed with in part, and also with respect to your question regarding how folks become unemployed during a recession, I provided a possible answer that you do not appear to have rebutted. I suggest that homelessness and poverty around the world have multiple causes. I am not going to accept mere assertion from you that you have identified the major cause.
What actually changed to cause the depression? Why do people stop buying high performance cars? It's certainly not because they stop wanting them.
Gas prices increase too high to make them too expensive to operate? People react to AGW by buying hybrids? Buggy whips fall out of favor because nobody uses horses? Pet Rock fad fades into oblivion because everybody who wants one has one? Online music sales put record stores out of business? There are thousands of reasons why demand in a given market sector might decline and at least some of those reasons involve people just not wanting them anymore.
Edited by NoNukes, : No reason given.
Edited by NoNukes, : No reason given.

Under a government which imprisons any unjustly, the true place for a just man is also in prison. Thoreau: Civil Disobedience (1846)
History will have to record that the greatest tragedy of this period of social transition was not the strident clamor of the bad people, but the appalling silence of the good people. Martin Luther King
I never considered a difference of opinion in politics, in religion, in philosophy, as cause for withdrawing from a friend. Thomas Jefferson

This message is a reply to:
 Message 34 by Riggamortis, posted 08-26-2016 9:48 PM Riggamortis has replied

Replies to this message:
 Message 36 by Riggamortis, posted 08-26-2016 11:46 PM NoNukes has replied
 Message 37 by Riggamortis, posted 08-27-2016 12:50 AM NoNukes has replied

  
Riggamortis
Member (Idle past 2390 days)
Posts: 167
From: Australia
Joined: 08-15-2016


Message 36 of 56 (790174)
08-26-2016 11:46 PM
Reply to: Message 35 by NoNukes
08-26-2016 10:16 PM


Re: The End Of The Dollar Means Crises In US
Hunger is a serious issue, but I have difficulty believing that the banking system is much of an issue regarding hunger. The fact is that Western cultures have an excess of food, and that most of them throw away food that would easily feed every hungry person throughout the world. It is also the case that there are hungry folks in the United States as well as in Africa.
If feeding the hungry is really your motivation, I think there are easier targets than the one you've chosen.
This is base on the misunderstanding that hunger is the only issue, nevertheless, your very first statement is one of incredulity. I did address the fact that the problem is not one of whether there is enough, but where it is going and provided arguement as to the banking systems role in that via the distribution of new money. You neither rebutted, nor pointed to fault in my reasoning.
If your job is making high performance automobiles, your ability to make those vehicles won't feed you if nobody is buying high performance automobiles (or buggy whips, or pet rocks). Retraining you may be difficult and it may well be that you cannot readily be trained to fill a job valued as high as your previous job. So simply a mismatch between your skills and those valued is enough to make you jobless, and possibly homeless.
I don't see how a particular banking system affects those kinds of inefficiencies. I'm sure that there are many sources of inequity in income distribution, some of which are the target of your ire. But certainly not all problems are of that sort.
In fact, you have yet to demonstrate to me that fraction reserve banking is the most important problem.
My argument is that, in the macro-economic sense, the banking system is what drives the boom/bust cycle. Further, that the profit driven issuance of new money as interest bearing debt, does have a major effect on where new money can be spent. For example, we can't spend money building sustenance infrastructure in Africa, because it will take too long to realise the monetary gain. In other words, who will pay the interest in the meantime? It's not just hunger in the third world either, coal/oil vs renewable, the banks decide who to lend to.
Pointing to the circumstances of a particular victim of a recession does not in anyway rebut my argument. I did address this in my response. Your next statement again, is one of incredulity. You did not rebut nor find fault in my reasoning. If you could point out exactly where it is faulty, or where you don't follow, that would be conducive to a more productive discussion. I stand by my accusation.
Only a fool would say inequity has one cause, however, our financial system has infested almost every country on the globe, it is institutionalised theft from the productive, it steers money away from necessity toward profit, it causes economic instability and means that the poor have to pay the wealthy just for the chance to lift themselves from poverty.
You can argue a more significant cause if you like. We'll see.

This message is a reply to:
 Message 35 by NoNukes, posted 08-26-2016 10:16 PM NoNukes has replied

Replies to this message:
 Message 38 by Phat, posted 08-27-2016 9:04 AM Riggamortis has replied
 Message 40 by NoNukes, posted 08-27-2016 10:31 AM Riggamortis has not replied

  
Riggamortis
Member (Idle past 2390 days)
Posts: 167
From: Australia
Joined: 08-15-2016


Message 37 of 56 (790177)
08-27-2016 12:50 AM
Reply to: Message 35 by NoNukes
08-26-2016 10:16 PM


Re: The End Of The Dollar Means Crises In US
Gas prices increase too high to make them too expensive to operate? People react to AGW by buying hybrids? Buggy whips fall out of favor because nobody uses horses? Pet Rock fad fades into oblivion because everybody who wants one has one? Online music sales put record stores out of business? There are thousands of reasons why demand in a given market sector might decline and at least some of those reasons involve people just not wanting them anymore.
Again pointing to individual sectors as though it has any relevance to the overall economy. When all or most sectors are declining it is surely not because no one wants anything anymore. If people stop buying x, they are generally buying y or z etc, instead. In that instance, as jobs are being destroyed, they are being created elsewhere. When overall growth is negative it's because of a contracting money supply.
It is a fact, that to ease economic downturns, the govt could issue dollars rather than bonds! That is the bare minimum change we need. Why is money, backed by the US people's ability to produce goods to exchange for it, borrowed as fiat currency from private banks? By the people, who are now in tremendous debt.
Why does the IMF and World Bank issue supposedly charitable loans to the third world as interest bearing debt? When they default on this debt, austerity measures are imposed on sovereign nations by the banks. Slashing social spending, privatisation of the assets they borrowed to build and deregulation(to allow multinationals to f@&k them).
http://www.corpwatch.org/article.php?id=9336
http://www.corpwatch.org/article.php?list=type&type=186&q...

This message is a reply to:
 Message 35 by NoNukes, posted 08-26-2016 10:16 PM NoNukes has replied

Replies to this message:
 Message 39 by NoNukes, posted 08-27-2016 10:24 AM Riggamortis has replied

  
Phat
Member
Posts: 18262
From: Denver,Colorado USA
Joined: 12-30-2003
Member Rating: 1.1


Message 38 of 56 (790187)
08-27-2016 9:04 AM
Reply to: Message 36 by Riggamortis
08-26-2016 11:46 PM


Re: The End Of The Dollar Means Crises In US
In other words, who will pay the interest in the meantime? It's not just hunger in the third world either, coal/oil vs renewable, the banks decide who to lend to.
I suppose the only counter-argument I can come up with--and not that I agree with it--is that how can we change the banking system? By necessity it operates the way it does...it has to make money. Helping the third world is quite simply not profitable. Profit drives the machine.

Chance as a real force is a myth. It has no basis in reality and no place in scientific inquiry. For science and philosophy to continue to advance in knowledge, chance must be demythologized once and for all. —RC Sproul
"A lie can travel half way around the world while the truth is putting on its shoes." —Mark Twain "
~"If that's not sufficient for you go soak your head."~Faith

This message is a reply to:
 Message 36 by Riggamortis, posted 08-26-2016 11:46 PM Riggamortis has replied

Replies to this message:
 Message 41 by Riggamortis, posted 08-27-2016 1:01 PM Phat has not replied

  
NoNukes
Inactive Member


Message 39 of 56 (790191)
08-27-2016 10:24 AM
Reply to: Message 37 by Riggamortis
08-27-2016 12:50 AM


Re: The End Of The Dollar Means Crises In US
Again pointing to individual sectors as though it has any relevance to the overall economy.
Of course my examples are relevant. An affect on any large sector of the economy can spill over into the other sectors because when folks have no jobs, they don't buy houses (in fact they want to sell them) fancy clothes, or eat out in nice restaurants.
The fact of the matter is that there are many causes of economic downturn other than those you are prepared to acknowledge. If you don't want to read answers to your question of how downturns occur, then don't ask such questions in public. That way you can continue to hold your current opinion without having to vet that opinion.
It is a fact, that to ease economic downturns, the govt could issue dollars rather than bonds!
There are indeed ways that the government can create economic growth, yes. They could indeed find alternatives other than bonds even if they do not scrap the current system of capitalism. Finding ways to give the money directly to the middle class is what some folks have suggested. Sometimes that is done.
Edited by NoNukes, : No reason given.

Under a government which imprisons any unjustly, the true place for a just man is also in prison. Thoreau: Civil Disobedience (1846)
History will have to record that the greatest tragedy of this period of social transition was not the strident clamor of the bad people, but the appalling silence of the good people. Martin Luther King
I never considered a difference of opinion in politics, in religion, in philosophy, as cause for withdrawing from a friend. Thomas Jefferson

This message is a reply to:
 Message 37 by Riggamortis, posted 08-27-2016 12:50 AM Riggamortis has replied

Replies to this message:
 Message 42 by Riggamortis, posted 08-28-2016 1:11 AM NoNukes has not replied

  
NoNukes
Inactive Member


Message 40 of 56 (790192)
08-27-2016 10:31 AM
Reply to: Message 36 by Riggamortis
08-26-2016 11:46 PM


Re: The End Of The Dollar Means Crises In US
This is base on the misunderstanding that hunger is the only issue, nevertheless, your very first statement is one of incredulity
Nothing wrong with expressing incredulity if that is not all I do. And I gave my reasons for not just swallowing your assertions. Namely that homelessness and hunger have lots of causes.
Make your best argument.

Under a government which imprisons any unjustly, the true place for a just man is also in prison. Thoreau: Civil Disobedience (1846)
History will have to record that the greatest tragedy of this period of social transition was not the strident clamor of the bad people, but the appalling silence of the good people. Martin Luther King
I never considered a difference of opinion in politics, in religion, in philosophy, as cause for withdrawing from a friend. Thomas Jefferson

This message is a reply to:
 Message 36 by Riggamortis, posted 08-26-2016 11:46 PM Riggamortis has not replied

  
Riggamortis
Member (Idle past 2390 days)
Posts: 167
From: Australia
Joined: 08-15-2016


Message 41 of 56 (790196)
08-27-2016 1:01 PM
Reply to: Message 38 by Phat
08-27-2016 9:04 AM


Re: The End Of The Dollar Means Crises In US
The first step to changing anything, is to convince enough people it needs to be changed. That will be a far bigger challenge than working out what to do. Simply abolishing interest and forcing banks to lend at a one time fee would surely allow more people to make more profit, other than banks. I note that both the Koran and the Bible forbid the lending of money at interest. In fact Jesus' only use of violence was directed at usurers, was it not?
We can do anything if we all wake up to just how inefficient the system is. By creating money as interest bearing debt, not only does the capitalist have to make his own profit, but that of the banks also. I'm not against well regulated capitalism, it's not the ideal nor most efficient system, however. 75% of current human labour could be automated, imagine the effect on people that will have, in a system where only those involved in production are granted any buying power.
We know we can automate much of our labour, we know our system will not work with that many unemployed, yet we are not preparing for it nor even acknowledging it. It's just capitalism full steam ahead. With many politicians pushing for further deregulation! It drives me insane 😡😡

This message is a reply to:
 Message 38 by Phat, posted 08-27-2016 9:04 AM Phat has not replied

  
Riggamortis
Member (Idle past 2390 days)
Posts: 167
From: Australia
Joined: 08-15-2016


Message 42 of 56 (790224)
08-28-2016 1:11 AM
Reply to: Message 39 by NoNukes
08-27-2016 10:24 AM


Re: The End Of The Dollar Means Crises In US
NN writes:
Of course my examples are relevant. An affect on any large sector of the economy can spill over into the other sectors because when folks have no jobs, they don't buy houses (in fact they want to sell them) fancy clothes, or eat out in nice restaurants.
The fact of the matter is that there are many causes of economic downturn other than those you are prepared to acknowledge. If you don't want to read answers to your question of how downturns occur, then don't ask such questions in public. That way you can continue to hold your current opinion without having to vet that opinion.
Please forgive my frustration, I feel that I have responded to your points adequately, at the very least, you have not responded to the counter points I have raised.
You have not disputed that more debt is required for economic growth. Here I point out that when overall growth is negative, it is because of a contracting money supply, otherwise known as less new debt/money.
Rigg writes:
When all or most sectors are declining it is surely not because no one wants anything anymore. If people stop buying x, they are generally buying y or z etc, instead. In that instance, as jobs are being destroyed, they are being created elsewhere. When overall growth is negative it's because of a contracting money supply.
Here I emphasise that, fundamentally, it is the lack of new credit being issued that causes economic downturn. If one sector crashes for whatever reason, so long as new credit is being issued, it doesn't matter, growth will continue. Only when less credit is being issued will growth decline/become negative.
Less people loaning money for cars hurts the car industry. The high performance car factory has its access to new credit denied and goes into administration. Perhaps it could survive without interest payments to make. Maybe the govt could issue the money required to refit the factory to produce high performance hybrids(where the bank won't), if that is why sales have dropped. Perhaps in return for the stock they can't sell, to use as pursuit vehicles. So many possibilities, but the only options we have are private debt or public debt.
Rigg writes:
What actually changed to cause the depression? Why do people stop buying high performance cars? It's certainly not because they stop wanting them. It's because the banks have granted credit to everyone their lending policies will allow. As the amount of people willing/eligible to borrow drops off, less new money is being created and that is what -fundamentally- leads to recession.
Here my point is that the distribution of new money for profit/as debt necessarily has an effect on who gets fed. To which you did not respond.
Rigg writes:
Most new money is created as interest bearing debt.
This includes money lent to the governments of third world nations and indeed, our own western governments.
In the private sector banks have the power to decide where new money goes through their lending policies.
If you concede all those points, how can the banking system possibly not be having an impact on hunger? As you point out, there is enough food, but it doesn't get to the mouths whom need it most. You could say the exact same thing about money. (Given that it is created from thin air, even more so.)
Keep in mind, I didn't initially make the argument that hunger is caused primarily by the financial system. Your first post to me was an off topic response to an off topic rant about self-centered western attitudes. I have certainly shown, in my opinion, that the current financial system is not conducive to fixing the issue of world hunger and in fact hinders the process(by creating new money with the profit motive attached).
I will now solve most of the worlds problems, with one policy. 😝
Poverty and hunger, death from easily preventable diseases, unemployment in the first world, both govt and private debt, less conflict(when everyone's basic needs are met, there is much less incentive to fight), make the transition to sustainable technologies easier. To name the ones that come to the top of my head.
Create a 3rd world development body with the power to create and issue a new currency, the 3WD$, completely debt free.
All nations agree to accept this new currency for goods, services and currency exchange.
The 3WD body oversees the issuance of this money and how it is initially spent. (Power/water/food/housing/education/health infrastructure, given directly to the people to buy necessities and thus stimulate local market growth.)
Perhaps each developed nation pairs up with several developing/3rd world nations as prefferred trading partners to ensure the economic benefit(jobs/exports) of the new currency is well dispersed. As well as any inflationary effect. Inflation should not be a problem, however, if the currency(demand) is dispersed in conjunction with production(supply) increases.
Obviously, 3W nations do not have the infrastructure or skilled labour to generate significant production increases. We in the west, do and can, easily. So we have impoverished nations with no buying power and unemployed people in the west, most of whom I'm sure would love a job, perhaps even more so, knowing they are helping the impoverished.
Solution - give the 3W debt free money! Not world bank or IMF loans.
By creating money, we create demand. Demand creates supply.
Give free money to the 3rd world and only the first world will be able to fill their demand. Western engineers will be employed manufacturing building materials. To go there, oversee the planning/construction of infrastructure and training of the local population in the skills they will need to become self sufficient.
Renewable energy can be researched and implemented as a priority by the 3WD body. This will in turn reduce the cost of building our own renewable infrastructure.
Farmers and everyone in the food supply chain will benefit from the increase in demand for food. Transport companies will benefit from an increase of goods being sent to the 3rd world. The list goes on.
Governments will have increased tax revenue and be able to pay down debt without hurting the economy, due to the influx of non-debt money. As will the private sector. Paying down our debts is destroying money, the more we pay down, the more debt free currency we can create to develop the 3rd world, without causing inflation.
Everyone will benefit. Except banks. Consider that, and the fact that such a policy has not been implemented. Then ask yourself again, why I am so angry at the financial system.

This message is a reply to:
 Message 39 by NoNukes, posted 08-27-2016 10:24 AM NoNukes has not replied

Replies to this message:
 Message 43 by Phat, posted 08-28-2016 6:00 AM Riggamortis has replied

  
Phat
Member
Posts: 18262
From: Denver,Colorado USA
Joined: 12-30-2003
Member Rating: 1.1


Message 43 of 56 (790231)
08-28-2016 6:00 AM
Reply to: Message 42 by Riggamortis
08-28-2016 1:11 AM


Re: The End Of The Dollar Means Crises In US
The only problem I see here is that the pay rate for the First World worker sent to the Third World would likely not be enough to cover First World expenses. People may gladly work for 1x per hour in the third world whereas in the first world it takes 15x an hour to maintain minimum cost of living.

Chance as a real force is a myth. It has no basis in reality and no place in scientific inquiry. For science and philosophy to continue to advance in knowledge, chance must be demythologized once and for all. —RC Sproul
"A lie can travel half way around the world while the truth is putting on its shoes." —Mark Twain "
~"If that's not sufficient for you go soak your head."~Faith

This message is a reply to:
 Message 42 by Riggamortis, posted 08-28-2016 1:11 AM Riggamortis has replied

Replies to this message:
 Message 44 by Riggamortis, posted 08-28-2016 6:45 AM Phat has replied
 Message 47 by NoNukes, posted 08-29-2016 11:13 AM Phat has replied

  
Riggamortis
Member (Idle past 2390 days)
Posts: 167
From: Australia
Joined: 08-15-2016


Message 44 of 56 (790235)
08-28-2016 6:45 AM
Reply to: Message 43 by Phat
08-28-2016 6:00 AM


Re: The End Of The Dollar Means Crises In US
We are literally creating money for its true purpose in this scenario, to realise human potential. Following a few anti-inflationary guidelines, as I mentioned, it shouldn't be a problem.
For example, the US is paired with several poor South American countries.
China is paired with several poor Asian countries.
All the countries need an essentially identical water treatment plant.
The cost of the materials and engineers in China is x 3wd$.
The cost of the materials and engineers in the US is y 3wd$.
X amount of money is granted to the countries in Asia, to put Chinese workers into action.
Y amount of money is granted to the South American countries, to put US workers into action.

This message is a reply to:
 Message 43 by Phat, posted 08-28-2016 6:00 AM Phat has replied

Replies to this message:
 Message 45 by Phat, posted 08-28-2016 1:09 PM Riggamortis has replied

  
Phat
Member
Posts: 18262
From: Denver,Colorado USA
Joined: 12-30-2003
Member Rating: 1.1


Message 45 of 56 (790254)
08-28-2016 1:09 PM
Reply to: Message 44 by Riggamortis
08-28-2016 6:45 AM


Remaking The Federal Reserve
We are literally creating money for its true purpose in this scenario, to realise human potential.
Your idea sounds plausible. Isn't it true though that now as it stands only the Federal Reserve is authorized to create money? Perhaps a question: How Easy Would It Be To Overhaul The Federal Reserve?

Chance as a real force is a myth. It has no basis in reality and no place in scientific inquiry. For science and philosophy to continue to advance in knowledge, chance must be demythologized once and for all. —RC Sproul
"A lie can travel half way around the world while the truth is putting on its shoes." —Mark Twain "
~"If that's not sufficient for you go soak your head."~Faith

This message is a reply to:
 Message 44 by Riggamortis, posted 08-28-2016 6:45 AM Riggamortis has replied

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