I know where you're going with this but go ahead
Essential Economics for Politicians
- Thread starter Bruddah IZ
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Bruddah IZ
DA
"That belief" is not only empirically supported but historically supported as well. The Roman's inflated their money supply through counterfeiting /debasing until the people no longer valued Roman money for exchange.
Bruddah IZ
DA
I already did. One post prior.
Bruddah IZ
DA
This is one of those cliche' oft used rarely understood.
Why do we need to look at what Romans did when we have our own history for comparison? Recession, or boom and bust cycle as your favorite economists put it, is as old as the free market. It existed before and after the creation of the Fed. Before and after the gold standard. That fact flies in the face of your argument for elimination of the Fed and reversion back to the gold standard.
Bruddah IZ
DA
How does it go? "Those who don't know history.....repeat it" Why is U.S. monetary policy fundamentally unlike Rome's monetary policy?
We have to know all history, not selectively.
Even if we eliminate the Fed, we still need a central bank. How would a central bank be different from the Fed that enjoys independence from political influences? A private central bank doesn't mean lack of government interference, as there would be government-set boundaries on the private central bank.
On a more fundamental level, government is not some abstract evil entity. Rather it's the will of the majority in a political sense. The principle of limited government is to protect minority rights free from the whims of the majority.
It's interesting to see that Izzy has given up his 1890's economics theory and replaced it with 4th century economics.
Bruddah IZ
DA
You are missing the cause of the Boom and Bust cycle. Did you know that Canada has never had a financial crisis? They've (Canada) had recessions which are not the same as a Boom and Bust cycle that lead to all U.S. financial crisis from the depression to present day. Recessions are healthy corrections to the market when not bailed out by inflating the money supply through so called quantitative easing. How perverted that, in the U.S., inflating money supply causes booms followed by bust that rely on a rescue plan that further inflates the money supply through so called quantitative easing.
Bruddah IZ
DA
It's called monetary history E-nanke.
Bruddah IZ
DA
Who's being selective? You still haven't answered what the fundamental differences between Roman and modern American monetary policies are. Like E-nanke said I've gone from 4th Century to 1890 and beyond from Europe to the U.S. to South America. Please let me know what relevant history I've left out.
Cite a country with a central bank whose directors are appointed by the government hardly supports your argument.
The 44 recessions before the Fed was created.
Canada has had a centralized banking under a government system that the WSJ has called "liberal democracy". Are you sure you want to pursue this? It's a big deviation from your usual position of free market conservatism.
"Liberal" here doesn't mean progressive as opposed to conservative. It means protection of minority and individual rights.
I understand that, but the word is poison to Izzy and his ilk on the forum.
Bruddah IZ
DA
Why?
Bruddah IZ
DA
What was the fundamental cause of the 44 recessions and what measures were taken in the wake of those recessions if any?
Bruddah IZ
DA
I would love to pursue it! How about you? Why did WSJ call it a "liberal democracy"? Post the link if you like. That way someone can read and explain it to you. I doubt that a deviation will arise.
Bruddah IZ
DA
I like classic liberals.