Virginia Talking About Its Own Money!

[sr71plt]

I live in Virginia and have heard nothing of this. The cited delegate, Marshall, is a reactionary idiot who floats a lot of nonsense like this. Only Fox News (and apparently Serusmax) would hyperventilate over some idiot state delegate proposing a dumb bill like this.

[Stella_Omega]

Originally Posted by SEVERUSMAX

The alternative is letting central banks and inflation control our destiny. Seeing the cost of living rise to astronomical levels every year. And more boom-and-bust cycles, not fewer.

Keynes....so yesterday and overrated.

Well, there are other ways to prevent banks from controlling our economy. It doesn't have to be a physical gold standard.

Honestly, there are so many more people alive today, there flat-out isn't enough gold available to cover us all.

We could kill off maybe... what, 80% of all living humans? And your gold standard would support the remaining folks (I'd miss you, Sev. Not enough to bring flowers to your grave, mind you, but I am not volunteering to sacrifice my life for your vision). The rest of us would live in an emptier, more spacious world, once again run as a family-farm economy, with a cow and a mule each family living according to their physical capabilities, brains not needed.

[lovecraft68]

A place for writers and readers to socialize and discuss the craft of writing.

[Safe_Bet]

Originally Posted by lovecraft68

A place for writers and readers to socialize and discuss the craft of writing.

Gee... you sound just like Pilot when he gets pissy about a given post.

[JAMESBJOHNSON]

Originally Posted by Ironiclaconic

I think it is easy to criticize the Fed, and I do it myself sometimes, but it helps to know why it was created. The Panic of 1907 was only averted by JP Morgan locking everyone into a room until they came up with a solution for solvency, and he also served as the lender of last resort, which barely worked and Morgan used the situation to make US Steel a more powerful monopoly.

Few people saw this as a good model going forward and it would be impossible today. Anyone advocating elimination of the Fed should be able to demonstrate how we will avoid reliving the cycle of panics and Depressions every decade that plagued the Gilded Age.

Cycles happen becuz none of us can see into the future, so if hoolahoops are the rage today you never know about tomorrow. The better mousetrap comes along or the demand for hoolahoops expires. The Fed never has and never can create new technologies and stuff.

[lovecraft68]

Originally Posted by Safe_Bet

Gee... you sound just like Pilot when he gets pissy about a given post.

A place for writers and readers to socialize and discuss the craft of writing by people who actually have written something in the last few years

[Safe_Bet]

Originally Posted by lovecraft68

A place for writers and readers to socialize and discuss the craft of writing by people who actually have written something in the last few years

So you not only think you're Pilot, but Laurel and Manu too now?

(cuz it doesn't say that)

[lovecraft68]

Originally Posted by Safe_Bet

So you not only think you're Pilot, but Laurel and Manu too now?

(cuz it doesn't say that)

Now let's not get silly, Laurel and Manu have no interest in what goes on here.

[Ironiclaconic]

Originally Posted by JAMESBJOHNSON

Cycles happen becuz none of us can see into the future, so if hoolahoops are the rage today you never know about tomorrow. The better mousetrap comes along or the demand for hoolahoops expires. The Fed never has and never can create new technologies and stuff.

Except

1) why does unemployment hit broadly during recessions instead of in narrowly targeted industries? Why did a housing bubble crash affect the automobile industry?

2) why don't labor prices drop to clear the market? Basic micro would predict that if you can't sell a product at a given price, you lower the price, so why does that work for corn but not labor?

Keynes's answers to those questions were a drop in aggregate demand and sticky prices, and monetary and fiscal policies were the cure. He has held up quite well for 80 years.

Now for a translation into erotica so as to avoid annoying Lovecraft.

His supply function sloped upward, displaying impressive inelasticity. Her demand yielded downward before him, as if yearning to lie beneath him. The sudden meeting of their curves maximized their mutual utility with such Pareto optimality that they cried out as their markets cleared.

(yes, my Econ TA was really hot.)

[NekoParks]

Originally Posted by Ironiclaconic

Except

1) why does unemployment hit broadly during recessions instead of in narrowly targeted industries? Why did a housing bubble crash affect the automobile industry?

2) why don't labor prices drop to clear the market? Basic micro would predict that if you can't sell a product at a given price, you lower the price, so why does that work for corn but not labor?

Keynes's answers to those questions were a drop in aggregate demand and sticky prices, and monetary and fiscal policies were the cure. He has held up quite well for 80 years.

Now for a translation into erotica so as to avoid annoying Lovecraft.

His supply function sloped upward, displaying impressive inelasticity. Her demand yielded downward before him, as if yearning to lie beneath him. The sudden meeting of their curves maximized their utility with such perfection that they cried out as their markets cleared.

(yes, my Econ TA was really hot.)

I never thought that Keynesian economics would make me start panting.... You, Sir, have one of the sexiest minds on Literotica.

[Ironiclaconic]

Originally Posted by NekoParks

I never thought that Keynesian economics would make me start panting.... You, Sir, have one of the sexiest minds on Literotica.

<blush>

[trysail]

Originally Posted by Safe_Bet

Gee... you sound just like Pilot when he gets pissy about a given post.

...and every bit as big a two-faced hypocrite.

[SEVERUSMAX]

Some people. Challenge their economic orthodoxy. Make a politically sensitive post. Do anything that defies the status quo or expresses opposition to the prevailing attitude, and the reaction is hostile.

Duly noted. And never forgotten.

[Stella_Omega]

Sorry, Snowflake-- we TRY, at least, to keep politics out of this forum.

Remember?

[SEVERUSMAX]

Originally Posted by Stella_Omega

Sorry, Snowflake-- we TRY, at least, to keep politics out of this forum.

Remember?

Don't recall that memo. Must have been while I was away.

Of course, if I had my way and the State ceased to exist, politics would no longer plague any of us.

[Stella_Omega]

Originally Posted by SEVERUSMAX

Don't recall that memo. Must have been while I was away.

Of course, if I had my way and the State ceased to exist, politics would no longer plague any of us.

You totally rock that tinfoil hat, my dear. Like a rocking thing.

[SEVERUSMAX]

Across the gulf of political struggle, I salute you, too. The hat is actually made of Kevlar.

[SEVERUSMAX]

Originally Posted by lovecraft68

A place for writers and readers to socialize and discuss the craft of writing.

I'm an anarchist. You're surprised that I'm fomenting rebellion here?

[sr71plt]

Originally Posted by SEVERUSMAX

I'm an anarchist. You're surprised that I'm fomenting rebellion here?

Rebellion against what? This is a private Web site, not owned by the federal government. Really, Sever, all you are showing is that you can't hold your own on a Web site or other venue that really cares about the shit that you hyperventilate over. You are showing your impotence and personal irrelevance.

[SEVERUSMAX]

Once again, you make a leap with missing logical steps, Mr. Consonants. You never change, do you? Jumping to all of the wrong conclusions again.

My point was that one should not be surprised that an avowed anarchist is expressing anarchist views, especially in a forum notorious for political discussion (at least in the past....apparently there has been some shift....news to me).

[NekoParks]

Originally Posted by SEVERUSMAX

http://www.foxnews.com/politics/2013...gold-standard/

Granted, this is actually unconstitutional, but then so is half or more of what the Feds do. More importantly, it's another battle in the conflict between the central government and the States (yes, I capitalized the latter for a reason).

It's also a part of the revolt against the Federal Reserve System, which needs to be abolished, as part of any plan to restore national solvency.

Monetary policy was a disaster prior to Federal Reserve Act of 1913, which is a Republican plan like our Affordable Care Act is really the Heritage Foundation's plan. We are not broke as a country. It's just more Chicken Little scare tactics.

[Ironiclaconic]

Originally Posted by NekoParks

Monetary policy was a disaster prior to Federal Reserve Act of 1913, which is a Republican plan like our Affordable Care Act is really the Heritage Foundation's plan. We are not broke as a country. It's just more Chicken Little scare tactics.

Yep. What a lot of people miss in the debates over the debt is that the US government is able to borrow at a rate less than the rate of inflation. That is, the Fed is borrowing money at a profit, paying an effective negative interest rate. This is very different from the previous debt spike in the 80s, much of which was incurred at 10-15% interest rates.

We don't have a solvency problem. This is pretty basic finance that a change in risk shows up in interest rates and T Bill rates have stayed at near-record lows. This basic fact is a devastating refutation of the economic models pushed by the people Severus seems to be reading. Like I said, Keynes is holding up well because the Keynesians predicted low interest rates despite borrowing.

Borrowing is a much less important issue now than the weakness of the labor market. Once the recovery is in full steam, the rate of borrowing will significantly drop from reduced income support spending and higher tax revenue.

My biggest gripe against the Fed is that they should have been more aggressive, and should have pushed much harder on mortgage relief. They bailed out the perpetrators of the crisis but left the victims hanging out to dry, with underwater mortgages impeding economic growth.

For Neko: "The wealthy bond trader removed her equity with rough force, stripping her of all assets and leaving her exposed to the ravages and humiliations of his green-eyed gaze..."

[NekoParks]

Originally Posted by Ironiclaconic

Yep. What a lot of people miss in the debates over the debt is that the US government is able to borrow at a rate less than the rate of inflation. That is, the Fed is borrowing money at a profit, paying an effective negative interest rate. This is very different from the previous debt spike in the 80s, much of which was incurred at 10-15% interest rates.

We don't have a solvency problem. This is pretty basic finance that a change in risk shows up in interest rates and T Bill rates have stayed at near-record lows. This basic fact is a devastating refutation of the economic models pushed by the people Severus seems to be reading. Like I said, Keynes is holding up well because the Keynesians predicted low interest rates despite borrowing.

Borrowing is a much less important issue now than the weakness of the labor market. Once the recovery is in full steam, the rate of borrowing will significantly drop from reduced income support spending and higher tax revenue.

My biggest gripe against the Fed is that they should have been more aggressive, and should have pushed much harder on mortgage relief. They bailed out the perpetrators of the crisis but left the victims hanging out to dry, with underwater mortgages impeding economic growth.

For Neko: "The wealthy bond trader removed her equity with rough force, stripping her of all assets and leaving her exposed to the ravages and humiliations of his green-eyed gaze..."

Fiddle-dee- dee (fanning frantically) you sure do have a way with economic bodice rippers--er-extended metaphors...is it hot in here?

[Safe_Bet]

Originally Posted by Ironiclaconic

"The wealthy bond trader removed her equity with rough force, stripping her of all assets and leaving her exposed to the ravages and humiliations of his green-eyed gaze..."

Aptly (and pretty accurately) phrased.


On the other hand... there is the lesbian version:


"The savvy and attractive woman, who had risen to to the position of VP of Operations of the small, but profitable, cashet investment group based upon her own special skills, eyed the companies trying their best to make a good impression.

He intuition and experience told her to look out on the fringe of the grouping and there she found several attractive "sweetheart", who if not naive, were green. These unappreciated "opportunities" were usually ignored by the manly men of economics who wanted to only rape, ravish and abuse ones with more bountiful and showy assets. What these men didn't understand was that often the most "hunger" came from the "under appreciated" and that hunger, with the proper impetus, could result in amazing passion and results.

After checking out their respective assets, she took a few of these "hungry" beauties by the hand and, with a sneer over her shoulder at the stodgy Marginalist, Keynesian, and more than a few greedy Austrian dolts, led them into the arms of other women who gently nurtured their new found desires and reaped the passionate results."

[Ironiclaconic]

Originally Posted by Safe_Bet

Aptly (and pretty accurately) phrased.


On the other hand... there is the lesbian version:


"The savvy and attractive woman, who had risen to to the position of VP of Operations of the small, but profitable, cashet investment group based upon her own special skills, eyed the companies trying their best to make a good impression.

He intuition and experience told her to look out on the fringe of the grouping and there she found several attractive "sweetheart", who if not naive, were green. These unappreciated "opportunities" were usually ignored by the manly men of economics who wanted to only rape, ravish and abuse ones with more bountiful and showy assets. What these men didn't understand was that often the most "hunger" came from the "under appreciated" and that hunger, with the proper impetus, could result in amazing passion and results.

After checking out their respective assets, she took a few of these "hungry" beauties by the hand and, with a sneer over her shoulder at the stodgy Marginalist, Keynesian, and more than a few greedy Austrian dolts, led them into the arms of other women who gently nurtured their new found desires and reaped the passionate results."

Very nice. In my rendition of that the bond traders would have all wanted to watch, but I think you were going for a different audience.