Here's what the problem with money is

Walt said:
I have noticed that people with very little money, are often complaining about how supposedly worthless money is. If money is so worthless and easy to come by, why do they have so little of it?

Let's say we go to the gold standard, and make money worth 100 times what it is now. And we are talking about making money worth 100 times what it is now, because the gold supply has not expanded to keep pace with the growth in production. That adjusts everyone down to 1% their previous wealth. The richer people will be able to adjust better, so it will be a massive gift to them. And the poor will get poorer.
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Moving to a gold standard for the dollar now would simply trigger hyperinflation.
 
Moving to a gold standard for the dollar now would simply trigger hyperinflation. In other words, the government is broke.

Congress never had authority to declare a fiat dollar (federal reserve note) legal tender in the United States.
 
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hey have a look at these playas and their "money stories"...
what do you think reading here...
do these playas sound like their gonna end with their "money stories" and tell us what money does when money is used sensibly?
Nah...those idiots don't have a clue do they...


see ya and...

remember players...other players are also reading here, it isn't just you and me...so...


Next time player that you read something on the internet that is nonsense, remember that you can ignore it...

and player, you can keep on ignoring nonsense, unless people forget that...

Money reduces the time and effort to trade…

as then... we are stuck with idiots wasting our time and effort, with their endless money stories...

Get it now player, or are you still wondering what to reply to me?


You didn't really think about it players, did you really?
Why?
Cause if you really think about it players, you will really understand...this is exactly why...

https://www.facebook.com/AlexandrosTsolis/
 
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danielpalos said:
Not at all. Governments can create a store of wealth; it may be termed and styled, fiat money.
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Money is not wealth. Money is a medium to trade wealth.
A government can print piles of money, and have no significant value associated with it. Perhaps you should remember what happened to the German Mark, the Mexican Peso, the Japanese Yen. There are plenty of other examples.

If it can happen there, it can happen here.

The dollar was once worth 1/20th of an ounce of fine gold.
Today, that same dollar is only worth 1/400th of that same gold.

As recently as 1900, you could buy 5lbs of flour for about 12 cents.
Today, that same bag of flour costs about $5.

As recently as 1950, a gallon of gasoline cost $0.27.
Today, that same gallon of gasoline costs $4.21.
(Actually, it is not quite the same gasoline. In 1950, tetraethyl lead was used as the fuel moderator, today it's ethanol. The same gallon of TEL gasoline now costs $7).

As recently as 1950, a typical car cost $1510 new.
Today, a typical car costs $39,950.

Those are in dollars. It IS happening here. As costs increase, so does the cost to operate government (they have to buy gas and stuff too!). They print MORE money to pay for it. Printing money faster than wealth increasing causes inflation.
Wealth is the property, the flour, the gasoline, the car...all the stuff that people voluntarily want and use...all the services that people voluntarily decide to purchase. Money is only a means to trade for it.

The pressure is creating a very real risk of hyperinflation. Oddly enough, this actually helps the government. It can pay back it's loans with the now worthless dollars. Of course, continuing to try to operate the way they are is no longer possible, even if they do not pay back the loans.

What are Congress's options at this point? Not much. They can't pay back the loans (government debt) without causing even MORE inflation (by printing money to do it).
They can't just continue to operate and expand the way they are without printing money to do it.
They can't tax enough to pay for it all without a tax revolt (possibly violent) or causing massive capital flight (what is currently happening in China).
They can't borrow enough because people will stop lending it to them, knowing they won't be paid back in anything but dollars that are now worth less.

The choice has already been made. It's not going to be a tax crash or a debt crash, it's going to be a cash crash. Sooner or later, it must come. Whether the trigger is a crash in China first, or another investment bubble here that crashes. Congress is quickly running out of options. People are already searching around for some other currency to use. Once they decide on one, NO GOVERNMENT CAN STOP IT.
 
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danielpalos said:
Public sector intervention that creates a scarcity of money is the problem.
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so if they print more and more and more amounts of money....

...do you really think playah that the economy becomes more and more and more productive?

...will that make people work more productively...what do you playah think?






Ahh...look at all you player go here with all your "stories"...when will your stories really end player and you tell us what do you think is really happening around you genius..?


remember players...other players are also reading here, it isn't just you and me...so...


Next time player that you read something on the internet that is nonsense, remember that you can ignore it...

and player, you can keep on ignoring nonsense, unless people forget that...

Money reduces the time and effort to trade…

as then... we are stuck with idiots wasting our time and effort, with their endless money stories...

Get it now player, or are you still wondering what to reply to me?


You didn't really think about it players, did you really?
Why?
Cause if you really think about it players, you will really understand...this is exactly why...

https://www.facebook.com/AlexandrosTsolis/
 
Into the Night said:
Money is not wealth. Money is a medium to trade wealth.
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Whatever you playah think money does...

try telling that next time that you give money to your girlfriend/spouse/mother in law and...the way you do it playah...

...increases the time and effort she has to spend to have fun...



...what do you playah think?
 
AlexandrosTsolis said:
so if they print more and more and more amounts of money....

...do you really think playah that the economy becomes more and more and more productive?

...will that make people work more productively...what do you playah think?






Ahh...look at all you player go here with all your "stories"...when will your stories really end player and you tell us what do you think is really happening around you genius..?


remember players...other players are also reading here, it isn't just you and me...so...


Next time player that you read something on the internet that is nonsense, remember that you can ignore it...

and player, you can keep on ignoring nonsense, unless people forget that...

Money reduces the time and effort to trade…

as then... we are stuck with idiots wasting our time and effort, with their endless money stories...

Get it now player, or are you still wondering what to reply to me?


You didn't really think about it players, did you really?
Why?
Cause if you really think about it players, you will really understand...this is exactly why...

https://www.facebook.com/AlexandrosTsolis/
Click to expand...

BOINC-ing for crypto may be able to take advantage of that modern infrastructure in modern times. It could be said to add value and wealth by that method.

https://boinc.berkeley.edu/
 
danielpalos said:
BOINC-ing for crypto may be able to take advantage of that modern infrastructure in modern times. It could be said to add value and wealth by that method.

https://boinc.berkeley.edu/
Click to expand...


Playah...you're imagining stuff playah...

...do you really think playah that the economy becomes more and more and more productive?

...will that make people work more and more and more productively (or do people get fed up with idiots and their "money stories")...what do you playah think?



Next time player that you read something on the internet that is nonsense, remember that you can ignore it...

and player, you can keep on ignoring nonsense, unless people forget that...

Money reduces the time and effort to trade…

as then... we are stuck with idiots wasting our time and effort, with their endless money stories...

Get it now player, or are you still wondering what to reply to me?


You didn't really think about it players, did you really?
Why?
Cause if you really think about it players, you will really understand...this is exactly why...

and remember players, I am not the only one reading here...

https://www.facebook.com/AlexandrosTsolis/
 
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