Essential Economics for Politicians

[Bernie Sanders]

Has there been any post on this thread worthy of a response from anyone other than an infantile free market boob?

Do you ever read anything?

 

[Wez]

Sure Bernie, what would you like me to read?

 

[espola]

He's nothing more than a cheerleader. (wez)
Laced actually engaged with a point of reference.
Intelligent debate does not need an antagonist and a cheerleader.
espola and wez.
Do yourselves, and the rest of us a favor, throw an idea out or stay on the bench.

It's not possible to have a serious discussion about whether the Fed is a government agency. The best we can hope to do is to laugh along with the joke, even if the boobs don't get it.

 

[Bernie Sanders]

Sure Bernie, what would you like me to read?

My post.

 

[Wez]

My post.

Let's move forward not backwards Bernie what message would you like to impart on me?

 

[Bruddah IZ]

You are a dope.

Thatʻs not what the 10 letters after his name tell his clients. Scary isnʻt it?

 

[Bruddah IZ]

Has there been any post on this thread worthy of a response from anyone other than an infantile free market boob?

Nope.

 

[Bruddah IZ]

It's not possible to have a serious discussion about whether the Fed is a government agency. The best we can hope to do is to laugh along with the joke, even if the boobs don't get it.

It is possible. Lets just say that it is an unfunded agency. Pretty cool if it wasnʻt for fiat money and fractional banking.

 

[Laced]

They are mutually exclusive. Donʻt fool yourself. They are not funded like other agencies.

If the Feds weren't a government agency as you so adamantly insist, it's just a free market participant which is not accountable to us voters or taxpayers. Then what's the fuss? What's your rant about in the first place? Isn't it how the free market works?

 

[Bernie Sanders]

If the Feds weren't a government agency as you so adamantly insist, it's just a free market participant which is not accountable to us voters or taxpayers. Then what's the fuss? What's your rant about in the first place? Isn't it how the free market works?

Peter Shiff (sp?) wrote a pretty good book that detailed the origin, and intended purpose of the federal reserve.

 

[Bruddah IZ]

If the Feds weren't a government agency as you so adamantly insist, it's just a free market participant which is not accountable to us voters or taxpayers. Then what's the fuss? What's your rant about in the first place? Isn't it how the free market works?

First, your link to the Fed says that the BOG is the agency. I am not disputing what the link says. And I am not disputing that the link to the Fed says ....."Fed's monetary policy-setting body, the Federal Open Market Committe--about how to reach those goals do not require approval by the President or anyone else in the executive or legislative branches of government." and neither are you. But they cease to be a free market participant when they create fiat money like they did during QE1 thru QE3. The market has to be free to fail as well. That is when savers like you and I get to snatch up some assets at much cheaper then the inflated prices caused by an increase in the money supply. Former Special Inspector General for the TARP program wrote a pretty good account of how the government allowed the Fed to bailout their friends in the financial sector. It's a good read and I highly recommend it. Or you can just google Neil Barofsky podcast interview at Econtalk and listen during traffic hour. My fuss is that the most recent crisis is not the first crisis of its kind. The Fed is the cause of the boom and bust cycles clear back to the great depression. Even there you can see that the Fed began inflating the money supply in the early 20's. Predictably, the stock market went crazy, all caused by the increase in the money supply.

 

[Bruddah IZ]

Peter Shiff (sp?) wrote a pretty good book that detailed the origin, and intended purpose of the federal reserve.

I like Peter Schiff. He has schooled many Keynesian professors.

 

[Bruddah IZ]

 

[Bruddah IZ]

I am!! I canʻt believe you adults donʻt know this stuff! We should have a CASHFLOW board game party. Iʻve bee playing since I was 3.

 

[Bruddah IZ]

Such confidence arises precisely because UCC has been universally adopted in the US. That is government "intervention" you can call it, but it's precisely such government "intervention" that truly makes the market stable and free.

Always beware of industries that want to regulate themselves. UCC works because it increases the number and ease with which transactions can happen. In short, it increases and accelerates tax revenues to the government. It also allows companies with a lot of cash or access to lots of cash to operate without boundaries. Government wasn't smart enough to come up with UCC by themselves. Only the profit motive can do that.

 

[Bruddah IZ]

There're economists who argue otherwise, but they're on the fringe. They have an antiquated view of the market. Mainstream economists accept that there has to be government action to ensure a free market. The issue is no longer whether, but how much.

I agree that non-interventionist economist are on the fringe. It reminds me of this scene in the Big Short.

 

[Bruddah IZ]

Mainstream economists accept that there has to be government action to ensure a free market.

Agree. Abolish fiat money and fractional banking. Too bad most Mainstream economist are throughly schooled in Keynesianism.

 

[Bruddah IZ]

There're economists who argue otherwise, but they're on the fringe. They have an antiquated view of the market.

The fringe economist have an antiquated view of the market because they know Roman history. The Fed like Rome is debasing the U.S. dollar through the creation of fiat money. Caesar did it buy clipping gold coins, melting the clippings to create more coins, albeit of a lesser weight, to pay for the expenses of the massive Roman Empire. As these coins circulated throughout Roman Markets, merchants demanded additional gold coins to meet the original weight requirements of a gold coin to say buy a basket of fish that cost a single gold coin last week! How's that for antiquated inflation? The Roman people started to notch their original unclipped coins to tell the difference because Caesar, instead of clipping coins was now just shaving the coins. In response, whatever gold coins Caesar collected in taxes he would have them fully melted, adding a baser metal this time, hence the term debasing, to meet the weight requirements. Eventually, it was a debased currency that destroyed an 800 year old empire.

An antiquated view of the market? Is there a fundamental difference?

 

[espola]

The fringe economist have an antiquated view of the market because they know Roman history. The Fed like Rome is debasing the U.S. dollar through the creation of fiat money. Caesar did it buy clipping gold coins, melting the clippings to create more coins, albeit of a lesser weight, to pay for the expenses of the massive Roman Empire. As these coins circulated throughout Roman Markets, merchants demanded additional gold coins to meet the original weight requirements of a gold coin to say buy a basket of fish that cost a single gold coin last week! How's that for antiquated inflation? The Roman people started to notch their original unclipped coins to tell the difference because Caesar, instead of clipping coins was now just shaving the coins. In response, whatever gold coins Caesar collected in taxes he would have them fully melted, adding a baser metal this time, hence the term debasing, to meet the weight requirements. Eventually, it was a debased currency that destroyed an 800 year old empire.

An antiquated view of the market? Is there a fundamental difference?

Are you trimming the ends off your Federal Reserve notes?

 

[Bruddah IZ]

Are you trimming the ends off your Federal Reserve notes?

Now days I just manually add three zeroes to the current balance in my checking account and presto I have more cash.