tag:blogger.com,1999:blog-4490468598422095060.post9066805807939122424..comments2024-03-17T07:55:12.096-07:00Comments on FOFOA: Just Another Hyperinflation Post - Part 3FOFOAhttp://www.blogger.com/profile/17152544684132776239noreply@blogger.comBlogger311125tag:blogger.com,1999:blog-4490468598422095060.post-91384080275570653012010-10-21T15:19:00.657-07:002010-10-21T15:19:00.657-07:00Michael H,
There is no money in any bank account ...Michael H,<br /><br />There is no money in any bank account of any type anywhere within the U.S. (<i>most likely, every other place on the world as well</i>) they are all credited accounts. Banks will provide cash if asked to do so otherwise, they're just swapping around electronic digits.<br /><br />It's not my definition:<br /><br />TITLE 31 > SUBTITLE IV > CHAPTER 51 > Dwainhttps://www.blogger.com/profile/13876249988120567156noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-65061809096373255772010-10-21T05:53:06.931-07:002010-10-21T05:53:06.931-07:00Hello Carl,
Thank you for describing your positio...Hello Carl,<br /><br />Thank you for describing your position. Can you clarify one issue for me?<br /><br />When you say that a mortgage origination creates credit and not money, do you mean that all demand deposits at banking institutions are credit? Does your definition of money include only cash?<br /><br />If so, I can see why you think that there is no way the fed can print into the Michael Hhttps://www.blogger.com/profile/08900572113023618278noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-81848399310923243752010-10-19T09:27:37.853-07:002010-10-19T09:27:37.853-07:00FOFOA - "So you see, all the discussions abou...FOFOA - "<i>So you see, all the discussions about whether credit is really money in terms of quantitative measurements as they relate to inflation or deflation is simply a distraction from the much bigger picture as it relates to systemic collapse and its inevitable effect, dollar hyperinflation. How about if we consider our monetary system a "Tri-Money system" where, under normal Dwainhttps://www.blogger.com/profile/13876249988120567156noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-72013590810108461782010-10-19T09:20:29.188-07:002010-10-19T09:20:29.188-07:00FOFOA - "That "willingness to debase&quo...FOFOA - "<i>That "willingness to debase" to deal with the problem at hand ("M7" is failing) is probably the most proximal flint for the "loss of confidence" spark that will trigger the onset of the actual fire, price hyperinflation (currency repudiation). Then the monetary hyperinflation that will inevitably follow (in the case of the US$) will add fuel the fireDwainhttps://www.blogger.com/profile/13876249988120567156noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-24478762884639801102010-10-19T09:12:29.119-07:002010-10-19T09:12:29.119-07:00FOFOA - "These things ARE the very foundation...FOFOA - "<i>These things ARE the very foundation of the modern dollar international monetary and financial system (the $IMFS). Without them, it (the $IMFS) goes POOF. Therefore, these things cannot be allowed to fail – NOMINALLY – in aggregate.</i>"<br /><br />Nonsense, they fail all the time. And they will fail - NOMINALLY - in aggregate, and the kicker is, you've already stated Dwainhttps://www.blogger.com/profile/13876249988120567156noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-869391210328914082010-10-19T09:08:12.058-07:002010-10-19T09:08:12.058-07:00FOFOA - "When a company or a municipality bor...FOFOA - "<i>When a company or a municipality borrows money it creates a debt, or a bond. This money is not just conjured out of thin air, it is provided by savers and pension funds when they buy the bonds. When that company or municipality defaults on its debt, those savers and pension funds' funds can go POOF.</i>"<br /><br />And that perfectly illustrates the fallacy of viewing Dwainhttps://www.blogger.com/profile/13876249988120567156noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-84747625388885035502010-10-19T09:02:39.463-07:002010-10-19T09:02:39.463-07:00FOFOA, et al,
Having confirmed that, indeed I suc...FOFOA, et al,<br /><br />Having confirmed that, indeed I suck as a writer, I’m gonna forgo my rendition of the sequencing of events as they pertain to the hyperinflationist’s argument because I’m too impatient for it and I skip things like mentioning details such as; it is the Keynesian notion of cost push inflation, which is the goal of currency devaluation, as I’ve described. Or that Friedman Dwainhttps://www.blogger.com/profile/13876249988120567156noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-19862798062497283112010-10-15T07:49:00.408-07:002010-10-15T07:49:00.408-07:00Costata,
The suspence is killing me, could you at...Costata,<br /><br />The suspence is killing me, could you at least give me a hint? Are they true inconsistanceies or simply gaps left to be filled?Dwainhttps://www.blogger.com/profile/13876249988120567156noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-53968537408326809922010-10-14T23:11:42.802-07:002010-10-14T23:11:42.802-07:00Hi Carl,
You said: "I'm still waiting......Hi Carl,<br /><br />You said: <i>"I'm still waiting..........."</i><br /><br />Noted. You will continue to do so. As I said "I'll post in due course". Getting back to you is not my No. 1 priority.<br /><br />Also you continue to add to your list of glaring inconsistencies with each comment you post so the list I am compiling, as time permits, is growing too.costatahttps://www.blogger.com/profile/17932860172715556937noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-72964196925414491042010-10-14T12:07:23.771-07:002010-10-14T12:07:23.771-07:00Contrary to popular hyperinflationist's myth, ...Contrary to popular hyperinflationist's myth, currency devaluation and the ensuing price increases, does not increase the available currency supply one single penny. It has exactly the opposite effect, it decreases available currency supply, which is equivalent to INCREASING DEMAND for the currency, especially so in an economy that is already in a recession where unfulfilled demand for Dwainhttps://www.blogger.com/profile/13876249988120567156noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-9652005813446397592010-10-14T12:04:29.188-07:002010-10-14T12:04:29.188-07:00FOFOA – “Regarding the FOA quote, you are too focu...FOFOA – <i>“Regarding the FOA quote, you are too focused on your narrow definition of "fiat" that you completely miss the bigger picture. When you cringe, I cringe, because 1) you think you are disproving FOA's statement by forcing it into your deflationist box, and 2) ... Just let your precise deflationist calculations and rules go for a minute and maybe you'll see something Dwainhttps://www.blogger.com/profile/13876249988120567156noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-61444173445498085752010-10-14T10:48:02.148-07:002010-10-14T10:48:02.148-07:00costata,
I'm still waiting...........
.costata,<br /><br />I'm still waiting...........<br /><br /><br />.Dwainhttps://www.blogger.com/profile/13876249988120567156noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-22323004355241062902010-10-14T10:45:29.325-07:002010-10-14T10:45:29.325-07:00FOFOA,
I knew from your response to my first quer...FOFOA,<br /><br />I knew from your response to my first query that it was going to be an uphill battle arguing this subject with you. I mean seriously, do you honestly believe that the gov. is going to maintain the debt-generating link with the Fed and hyperinflate the debt along with the dollar? I think not. I think that, if the government’s desperate intent is to inflate away its obligationsDwainhttps://www.blogger.com/profile/13876249988120567156noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-85855297427385636552010-10-14T10:44:13.369-07:002010-10-14T10:44:13.369-07:00FOFOA,
I knew from your response to my first quer...FOFOA,<br /><br />I knew from your response to my first query that it was going to be an uphill battle arguing this subject with you. I mean seriously, do you honestly believe that the gov. is going to maintain the debt-generating link with the Fed and hyperinflate the debt along with the dollar? I think not. I think that, if the government’s desperate intent is to inflate away its obligationsDwainhttps://www.blogger.com/profile/13876249988120567156noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-31576200889350459582010-10-14T10:42:16.268-07:002010-10-14T10:42:16.268-07:00FOFOA,
I knew from your response to my first quer...FOFOA,<br /><br />I knew from your response to my first query that it was going to be an uphill battle arguing this subject with you. I mean seriously, do you honestly believe that the gov. is going to maintain the debt-generating link with the Fed and hyperinflate the debt along with the dollar? I think not. I think that, if the government’s desperate intent is to inflate away its obligationsDwainhttps://www.blogger.com/profile/13876249988120567156noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-19784731380276096992010-10-12T09:36:36.540-07:002010-10-12T09:36:36.540-07:00costata,
"So hyper-deflation is not occurrin...costata,<br /><br />"<i>So hyper-deflation is not occurring now and there is no recorded episode of hyper-deflation in economic history except for the episode that you assert occurred in Iceland. Agreed?</i>"<br /><br />Not necessarily. While Iceland represents hyper-deflation on a national scale, hyper-deflation occurs quite frequently on a non-national scale all the time, Bernie Dwainhttps://www.blogger.com/profile/13876249988120567156noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-77110367338788397282010-10-11T03:50:06.807-07:002010-10-11T03:50:06.807-07:00@Gknowmx,
I appologize for the nasty tone. I was...@Gknowmx,<br /><br />I appologize for the nasty tone. I was in a sour mood after being called into work on Sunday for what turned out to be nothing. <br /><br />I didn't understand that you were posting those definitions for discussion points, and I don't really agree with all of them anyway. They go into far more detail than I am interested in or capable of debating.Desperadohttps://www.blogger.com/profile/16215858025835016523noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-78240867721482458772010-10-10T22:57:46.583-07:002010-10-10T22:57:46.583-07:00Hi Carl,
"... I would appreciate proof of th...Hi Carl,<br /><br /><i>"... I would appreciate proof of those "glaring inconsistencies" you speak of."</i><br /><br />Happy to oblige. I'll post in due course.<br /><br /><i>"I don't care what people do or don't do to prepare, I'm not here to give people advice, I'm here to challange the hyperinflation theory as it applies to our current or future costatahttps://www.blogger.com/profile/17932860172715556937noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-14526507296398551782010-10-10T13:22:24.430-07:002010-10-10T13:22:24.430-07:00costata,
"Given your unshakeable conviction ...costata,<br /><br /><i>"Given your unshakeable conviction that you are right, that your every assertion is fact and the glaring inconsistencies in your theories let's move on to practical considerations."</i><br /><br />Your perceptions of my demeanor are irrelevant, however I would appreciate proof of those "glaring inconsistencies" you speak of.<br /><br /><i>"What Dwainhttps://www.blogger.com/profile/13876249988120567156noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-49383927993144933922010-10-10T12:21:10.799-07:002010-10-10T12:21:10.799-07:00@ Carl,
And you come here to a site dedicated to ...@ Carl,<br /><br />And you come here to a site dedicated to Freegold and yet you claim to not be interested in someone who has come up with a whole new way to do things?<br /><br />I am not here to "win" a debate on deflation/hyperinflation, nor to curry favor with the "establishment", nor to find some nugget of information that might allow me to profit at the system's Gknowmxhttps://www.blogger.com/profile/11555635461751715126noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-49662828421909031912010-10-10T12:05:17.604-07:002010-10-10T12:05:17.604-07:00@ Desperado
In any monetary system, including one...@ Desperado<br /><br />In any monetary system, including one involving Freegold, a key concept, is "free". Thus, I acknowledge that these are definitions that I have accumulated, I am not forcing you to accept them, I humbly offer them freely as discussion points. <br /><br />What has gotten us into this mess, is the lack of choice and freedom in monetary systems and the lack of Gknowmxhttps://www.blogger.com/profile/11555635461751715126noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-74289963644159083832010-10-10T11:59:31.422-07:002010-10-10T11:59:31.422-07:00Gknowmx,
I see that you are still fixated on tang...Gknowmx,<br /><br />I see that you are still fixated on tangential nuances.<br /><br />I appreciate the consideration but I live in this reality and in this reality the establishment's definitions of Money, Fiat Money, Credit, etc. prevail. Now, I can get just as esoteric on the subject as the next guy but it would be an exercise in futility as I don’t think the current establishment would Dwainhttps://www.blogger.com/profile/13876249988120567156noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-52220368409425445032010-10-10T11:37:00.115-07:002010-10-10T11:37:00.115-07:00@Gknowmx,
OMFG! I am not going to participate in...@Gknowmx,<br /><br />OMFG! I am not going to participate in your naval gazing mental masturbation, it is what has gotten us into this mess in the first place. Gold is honest money, your "monetary definitions" are bullshit.Desperadohttps://www.blogger.com/profile/16215858025835016523noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-72259837901428941662010-10-10T11:21:39.299-07:002010-10-10T11:21:39.299-07:00@ Desperado
Here are some simple monetary definit...@ Desperado<br /><br />Here are some simple monetary definitions:<br /><br />Wealth is the value expended Human Labor that is accumulated in durable Consumer Goods.<br /><br />Barter is the exchange of Goods of non-equal utility value in the present tense. (No money is involved as the Goods once traded are transformed from Capital Goods to Consumer Goods) <br /><br />Money is the exchange of Gknowmxhttps://www.blogger.com/profile/11555635461751715126noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-62071633885780875802010-10-10T11:12:34.506-07:002010-10-10T11:12:34.506-07:00@Desperado
"Money is what people will accept...@Desperado<br /><br /><i>"Money is what people will accept as payment for a service or good."</i><br /><br />Agreed.<br /><br /><i>"Fiat as a "tangible product"? Tell me another good one."</i><br /><br />Isn't fiat printed on paper? Isn't paper a tangible product?Dwainhttps://www.blogger.com/profile/13876249988120567156noreply@blogger.com