[spok]

Please sign this petition to end government borrowing from the privately owned banking interests who are creating the paper currency out of thin air and then getting it all back with interest, such as the Federal Reserve Bank:

https://petitions.whitehouse.gov/petiti ... al-reserve

[Rugoz]

The federal reserve is not a private bank.

It is required by law to transfer its net earnings to the US treasury.

In 2016 that was $92bn.

Think before making stupid petitions.

[spok]

Please stop spreading lies.

The Federal Reserve Bank is a private bank which is owned by a consortium of the big private banks, the Federal Reserve creates the currency out of thin air and receives it all back with interest.

[Rugoz]

At least read the bloody wiki article before wasting my time.

[Decky]

You really think Mossad will respond to a petition? Ending the Fed will take a little more than that.

[Prosthetic Conscience]

Please do not start more than one thread on the same topic - you posted this already in 'Today's News' (despite there being no connection to news): viewtopic.php?f=42&t=168183 . Starting multiple threads on the same thing is spamming, and against the rules: rules

[mikema63]

RON PAUL 2020!!

[Saeko]

Haha









No.

[Rugoz]

Ending the Fed will take a little more than that.

He should address the space lizards.

[anarchist23]

Please sign this petition to end all of anarchist23s repayments to vampire banks.

[quetzalcoatl]

So, here's my typical chartalist spiel. "Borrowing" by a nation with its own sovereign currency is denominated in that currency. And guess what, so is its spending. So what, you ask. Here's what: neither taxes nor borrowing is required to fund government spending, as those funds are created ex nihilo by the government. Taxing and borrowing serve certain other purposes, just not the purpose of funding government spending.

[Rugoz]

So, here's my typical chartalist spiel. "Borrowing" by a nation with its own sovereign currency is denominated in that currency. And guess what, so is its spending. So what, you ask. Here's what: neither taxes nor borrowing is required to fund government spending, as those funds are created ex nihilo by the government. Taxing and borrowing serve certain other purposes, just not the purpose of funding government spending.

Welcome to hyperinflation. It's not like it has never been tried before.

Even if you're fine with monstrous inflation rates for very little revenue, an inflation tax is strongly regressive since only poor people hold most of their wealth in cash.

[quetzalcoatl]

Welcome to hyperinflation. It's not like it has never been tried before.

Even if you're fine with monstrous inflation rates for very little revenue, an inflation tax is strongly regressive since only poor people hold most of their wealth in cash.

You are wrong, dead wrong. I can't particularly blame you, since more than half the population believe this. But you have strangled your nations with unnecessary austerity, destroyed health services and housing, and impoverished your elderly - all because you so stubbornly hold onto hard money superstition, in the face of all evidence.

Hyperinflation is a political phenomenon that occurs after wars and revolutions, when a government loses legitimacy. It is not a 'monetary' phenomenon at all. Weimar Germany was already facing hyperinflation before its treasury started printing more currency as a response.

Today, the US, Japan, UK, and Germany have faced severe disinflationary pressure for nearly a decade. CBs have consistently fallen short of inflation targets. We narrowly averted a deflationary holocaust in '08, by pumping liquidity into the banking system.

All these economies are full of slack. Unemployment and underemployment. Growing overcapacity. Stagnating wages. Disinflationary pressure. Nonexistent demand.

Under those circumstances, it is criminally negligent for the government not to spending out the yahoo. There's a hell of a lot of slack to fill before demand starts chasing supply.

Don't be a tool of the oligarchy. This is all meant to keep wages stagnant.

[Rugoz]

You are wrong, dead wrong. I can't particularly blame you, since more than half the population believe this. But you have strangled your nations with unnecessary austerity, destroyed health services and housing, and impoverished your elderly - all because you so stubbornly hold onto hard money superstition, in the face of all evidence.

Hyperinflation is a political phenomenon that occurs after wars and revolutions, when a government loses legitimacy. It is not a 'monetary' phenomenon at all. Weimar Germany was already facing hyperinflation before its treasury started printing more currency as a response.

Today, the US, Japan, UK, and Germany have faced severe disinflationary pressure for nearly a decade. CBs have consistently fallen short of inflation targets. We narrowly averted a deflationary holocaust in '08, by pumping liquidity into the banking system.

All these economies are full of slack. Unemployment and underemployment. Growing overcapacity. Stagnating wages. Disinflationary pressure. Nonexistent demand.

Under those circumstances, it is criminally negligent for the government not to spending out the yahoo. There's a hell of a lot of slack to fill before demand starts chasing supply.

Don't be a tool of the oligarchy. This is all meant to keep wages stagnant.

You're confused.

I don't have a problem with debt monetization at this point because inflation is not an issue (QE + deficit spending is equivalent and preferable though). At least not in the Eurozone, in the US inflation is already at the 2% target. If the government would finance a significant part of its spending with central bank money inflation would explode. The fact that deflation was/is even an issue is the result of the austerity obsession and not because deficit spending by the government somehow magically doesn't cause inflation anymore.

[Truth To Power]

Please stop spreading lies.

As they say in Japan, "It's mirror time!"

The Federal Reserve Bank is a private bank which is owned by a consortium of the big private banks,

Correct. But the following is not:

the Federal Reserve creates the currency out of thin air and receives it all back with interest.

The Fed only creates base money, which does not bear interest -- though it uses that money to buy Treasury bonds, which do bear interest... but it remits its net income to the Treasury, and the private banks that own it get only a nominal 6% return. Almost all money in circulation in the USA is created not by the Fed but by private commercial banks, who do charge interest on the money they create.

The problem is not the Fed. The problem is the debt money system, which requires someone to go into debt to a private commercial bank so that money can be created to accommodate economic growth. The Fed exists to regulate that process to make sure it doesn't get out of hand and produce runaway inflation or a boom-bust business cycle (attentive readers will note that the Fed has not been successful at that). The debt money system is inherently unstable because of its positive feedback mechanism, which causes the business cycle. We need to get rid of bank-created debt money.

[Truth To Power]

Even if you're fine with monstrous inflation rates for very little revenue, an inflation tax is strongly regressive since only poor people hold most of their wealth in cash.

No, because cash is only a tiny fraction of the currency-denominated assets, almost all of which are debt instruments. The poor are the debtors, the rich the creditors, so fiat money inflation is a strongly PROgressive tax. Debt money inflation of course is just a transfer of wealth from those who hold currency-denominated assets to the private banks that charge interest on the debt money they issue.

[Rugoz]

No, because cash is only a tiny fraction of the currency-denominated assets, almost all of which are debt instruments. The poor are the debtors, the rich the creditors, so fiat money inflation is a strongly PROgressive tax. Debt money inflation of course is just a transfer of wealth from those who hold currency-denominated assets to the private banks that charge interest on the debt money they issue.

Only with surprise inflation. Expected inflation is of course part of nominal interest rates. A government permanently financing itself with fiat money would make economic actors adjust expectations quickly.

[Truth To Power]

Only with surprise inflation. Expected inflation is of course part of nominal interest rates. A government permanently financing itself with fiat money would make economic actors adjust expectations quickly.

It is effectively impossible to finance government permanently with expected fiat money inflation. It will accelerate, as has happened every time it has ever been tried.