General Discussion

Aerows

(39,961 posts)

36. I think you may be missing the difference between fiat

Thu Mar 20, 2014, 03:42 AM

Mar 2014

and true currency. If I have goats, and you want one of them, you trade me something of value to purchase that goat.

If you cannot offer me anything in trade, but have gold, you can offer me some of it, or silver. Gold and silver have material values because they can be used for many things beyond ornamentation. Paper money doesn't.

Crops in the field, ultimately, are worth more than numbers printed on paper - they have direct value.

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The truth is out: money is just an IOU, and the banks are rolling in it [View all] abelenkpe Mar 2014 OP

kick nationalize the fed Mar 2014 #1

Posted to for later comment ... 1StrongBlackMan Mar 2014 #2

Money as Debt PowerToThePeople Mar 2014 #3

First thing I thought of, as well. nt Electric Monk Mar 2014 #14

Yep. Loans create money. I had a post on fractional reserve banking a while back Recursion Mar 2014 #4

No reason for austerity abelenkpe Mar 2014 #6

Well, inflation does actually exist, though you wouldn't think it Recursion Mar 2014 #7

How are you defining inflation? fleabiscuit Mar 2014 #15

That is why I have not borrowed since '97 alittlelark Mar 2014 #5

This is only "news" to low information internet cranks. mathematic Mar 2014 #8

No kidding. OilemFirchen Mar 2014 #12

k&r thanks for posting. nm rhett o rick Mar 2014 #9

With "austerity" inflation is controlled by clamping down on the working class... hunter Mar 2014 #10

, blkmusclmachine Mar 2014 #11

Rolling in it ... 1000words Mar 2014 #13

buy gold yargle bargle blargle belch! Warren DeMontague Mar 2014 #16

It's David Graeber starroute Mar 2014 #19

Sure. Warren DeMontague Mar 2014 #22

He doesn't charge anything hfojvt Mar 2014 #27

Damnit, how in the hell AtheistCrusader Mar 2014 #21

Good lord. Warren DeMontague Mar 2014 #23

I'm not even wearing socks right now. :D AtheistCrusader Mar 2014 #32

k&r. nt adirondacker Mar 2014 #17

"they have effectively thrown the entire theoretical basis for austerity out of the window" Spitfire of ATJ Mar 2014 #18

You're right! We aren't broke abelenkpe Mar 2014 #60

EVERY policy of the Right goes back to catering to HATE for the poor. Spitfire of ATJ Mar 2014 #61

BUY GOLD RON PAUL ARGLE BARGLE AtheistCrusader Mar 2014 #20

I'm not at all sure that's the argument being made.... Adrahil Mar 2014 #57

As we dig further...... DeSwiss Mar 2014 #24

simple IS certainly the right word for that hfojvt Mar 2014 #29

Well I kept it simple...... DeSwiss Mar 2014 #30

you made that video? hfojvt Mar 2014 #31

Yeeeeah, that's pretty far from the truth the longer you watch it. AtheistCrusader Mar 2014 #33

Fiat currency Aerows Mar 2014 #25

But infinitely better than gold Recursion Mar 2014 #28

Exactly. I freak out a little every time somone says 'gold has intrinsic value'. AtheistCrusader Mar 2014 #34

You did post this using a computer, right? Aerows Mar 2014 #37

Yes, in fact, I mentioned that. AtheistCrusader Mar 2014 #42

I think you may be missing the difference between fiat Aerows Mar 2014 #36

No, gold and silver have value because people agree they have value Recursion Mar 2014 #38

Let me make sure I understand what you are saying here. Aerows Mar 2014 #40

Their industrial and ornamentation values are comparable to... wait for it... paper Recursion Mar 2014 #41

I really appreciate all of your contributions on this topic on DU. I couldn't agree more. Democracyinkind Mar 2014 #47

Fractional Reserve banking per se is not the big problem... Junkdrawer Mar 2014 #26

And insider stuff like the LIBOR scandal. AtheistCrusader Mar 2014 #35

It's rather unsurprising the members of Congress Aerows Mar 2014 #39

The LIBOR scandal came right in the middle of Obama's reelection..... Junkdrawer Mar 2014 #45

I disagree - it is a huge problem, in how it produces boom/bust cycles. reformist2 Mar 2014 #43

Long term, money-as-debt is, ahem, less then optimal.... Junkdrawer Mar 2014 #44

Yeah agreed abelenkpe Mar 2014 #59

In Switzerland, we are currently trying to get together an initiative to take that privilege from.. Democracyinkind Mar 2014 #46

Thanks. This is what I was trying to come to above... Junkdrawer Mar 2014 #48

Some of us surely are. Although I am not pure-bred, which makes me suspect to some ;) nt Democracyinkind Mar 2014 #49

Adoptees often see the benefits of the Family clearer than native sons... Junkdrawer Mar 2014 #50

That's true, and it has given me a unique perspective... Democracyinkind Mar 2014 #55

Good luck with that, but a Switzerland without the banks in charge? May as well ban Swiss cheese! reformist2 Mar 2014 #51

An analogy: Junkdrawer Mar 2014 #52

Very true. I'll be watching - if you guys win, that would be huge! reformist2 Mar 2014 #53

That's what I like about this initiative: It would constitute a political revolution... Democracyinkind Mar 2014 #54

I love this "national, unconditional guaranteed income provided by the state, not by corporations"! reformist2 Mar 2014 #56

K&R woo me with science Mar 2014 #58