Home › Forums › Financial Markets/Economics › South Carolina wants separate currency for state
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February 15, 2011 at 9:03 PM #667901February 15, 2011 at 9:20 PM #666766
Eugene
Participant[quote=walterwhite].
The crux is you cannot double the amount of gold out there this week. But you can double redouble and redouble again the number of dollars. I mean , ya could. If ya had to, to pay off debts.
But gold is kinda slow …[/quote]
If we’re going to engage in useless hypotheticals, I might as well point out that, since the Fed has control over the amount of dollars out there, the Fed could also wipe out the economy by recalling all dollars and taking the monetary base to zero.
Not that it would do either of those things.
The essential difference between gold and fiat is that we have a bunch of academics in control over fiat money supply, doing what they believe is best for the economy. We have no control over the supply of gold. There’s no reason to believe that gold is in any way better than fiat, unless you think that academics in charge of the Fed are wrong more than 50% of the time.
February 15, 2011 at 9:20 PM #666829Participant[quote=walterwhite].
The crux is you cannot double the amount of gold out there this week. But you can double redouble and redouble again the number of dollars. I mean , ya could. If ya had to, to pay off debts.
But gold is kinda slow …[/quote]
If we’re going to engage in useless hypotheticals, I might as well point out that, since the Fed has control over the amount of dollars out there, the Fed could also wipe out the economy by recalling all dollars and taking the monetary base to zero.
Not that it would do either of those things.
The essential difference between gold and fiat is that we have a bunch of academics in control over fiat money supply, doing what they believe is best for the economy. We have no control over the supply of gold. There’s no reason to believe that gold is in any way better than fiat, unless you think that academics in charge of the Fed are wrong more than 50% of the time.
February 15, 2011 at 9:20 PM #667432Participant[quote=walterwhite].
The crux is you cannot double the amount of gold out there this week. But you can double redouble and redouble again the number of dollars. I mean , ya could. If ya had to, to pay off debts.
But gold is kinda slow …[/quote]
If we’re going to engage in useless hypotheticals, I might as well point out that, since the Fed has control over the amount of dollars out there, the Fed could also wipe out the economy by recalling all dollars and taking the monetary base to zero.
Not that it would do either of those things.
The essential difference between gold and fiat is that we have a bunch of academics in control over fiat money supply, doing what they believe is best for the economy. We have no control over the supply of gold. There’s no reason to believe that gold is in any way better than fiat, unless you think that academics in charge of the Fed are wrong more than 50% of the time.
February 15, 2011 at 9:20 PM #667570Participant[quote=walterwhite].
The crux is you cannot double the amount of gold out there this week. But you can double redouble and redouble again the number of dollars. I mean , ya could. If ya had to, to pay off debts.
But gold is kinda slow …[/quote]
If we’re going to engage in useless hypotheticals, I might as well point out that, since the Fed has control over the amount of dollars out there, the Fed could also wipe out the economy by recalling all dollars and taking the monetary base to zero.
Not that it would do either of those things.
The essential difference between gold and fiat is that we have a bunch of academics in control over fiat money supply, doing what they believe is best for the economy. We have no control over the supply of gold. There’s no reason to believe that gold is in any way better than fiat, unless you think that academics in charge of the Fed are wrong more than 50% of the time.
February 15, 2011 at 9:20 PM #667911Participant[quote=walterwhite].
The crux is you cannot double the amount of gold out there this week. But you can double redouble and redouble again the number of dollars. I mean , ya could. If ya had to, to pay off debts.
But gold is kinda slow …[/quote]
If we’re going to engage in useless hypotheticals, I might as well point out that, since the Fed has control over the amount of dollars out there, the Fed could also wipe out the economy by recalling all dollars and taking the monetary base to zero.
Not that it would do either of those things.
The essential difference between gold and fiat is that we have a bunch of academics in control over fiat money supply, doing what they believe is best for the economy. We have no control over the supply of gold. There’s no reason to believe that gold is in any way better than fiat, unless you think that academics in charge of the Fed are wrong more than 50% of the time.
February 15, 2011 at 10:07 PM #666776greekfire
ParticipantWhy don’t we just legalize the Constitution? The Constitution states that only gold and silver shall be legal tender. We’d be wise to listen to the advice of those that came before us when it comes to fiat currency, bimetallism, central economic planning, etc. Gold IS real money- has been for some 5000+ years. Chart the price of many items vs. gold and the price of those items relative to gold will remain flat. Not the same for paper money.
Paper money works until it gets inflated (over produced)…and it ALWAYS eventually gets inflated by those in charge of its production. Those who produce the money do this to more easily square up their debts. It’s much easier to debase with paper and ledger entries on a computer.
Inflation is a hidden tax that nobody wants to talk about. Those that get the money first (Wall St., big corporations, etc.) benefit while the rest of us have to produce/earn more to keep up. If nothing else, we should allow for competing currencies. If the dollar is so strong then it should be fine.
February 15, 2011 at 10:07 PM #666839ParticipantWhy don’t we just legalize the Constitution? The Constitution states that only gold and silver shall be legal tender. We’d be wise to listen to the advice of those that came before us when it comes to fiat currency, bimetallism, central economic planning, etc. Gold IS real money- has been for some 5000+ years. Chart the price of many items vs. gold and the price of those items relative to gold will remain flat. Not the same for paper money.
Paper money works until it gets inflated (over produced)…and it ALWAYS eventually gets inflated by those in charge of its production. Those who produce the money do this to more easily square up their debts. It’s much easier to debase with paper and ledger entries on a computer.
Inflation is a hidden tax that nobody wants to talk about. Those that get the money first (Wall St., big corporations, etc.) benefit while the rest of us have to produce/earn more to keep up. If nothing else, we should allow for competing currencies. If the dollar is so strong then it should be fine.
February 15, 2011 at 10:07 PM #667442ParticipantWhy don’t we just legalize the Constitution? The Constitution states that only gold and silver shall be legal tender. We’d be wise to listen to the advice of those that came before us when it comes to fiat currency, bimetallism, central economic planning, etc. Gold IS real money- has been for some 5000+ years. Chart the price of many items vs. gold and the price of those items relative to gold will remain flat. Not the same for paper money.
Paper money works until it gets inflated (over produced)…and it ALWAYS eventually gets inflated by those in charge of its production. Those who produce the money do this to more easily square up their debts. It’s much easier to debase with paper and ledger entries on a computer.
Inflation is a hidden tax that nobody wants to talk about. Those that get the money first (Wall St., big corporations, etc.) benefit while the rest of us have to produce/earn more to keep up. If nothing else, we should allow for competing currencies. If the dollar is so strong then it should be fine.
February 15, 2011 at 10:07 PM #667580ParticipantWhy don’t we just legalize the Constitution? The Constitution states that only gold and silver shall be legal tender. We’d be wise to listen to the advice of those that came before us when it comes to fiat currency, bimetallism, central economic planning, etc. Gold IS real money- has been for some 5000+ years. Chart the price of many items vs. gold and the price of those items relative to gold will remain flat. Not the same for paper money.
Paper money works until it gets inflated (over produced)…and it ALWAYS eventually gets inflated by those in charge of its production. Those who produce the money do this to more easily square up their debts. It’s much easier to debase with paper and ledger entries on a computer.
Inflation is a hidden tax that nobody wants to talk about. Those that get the money first (Wall St., big corporations, etc.) benefit while the rest of us have to produce/earn more to keep up. If nothing else, we should allow for competing currencies. If the dollar is so strong then it should be fine.
February 15, 2011 at 10:07 PM #667921ParticipantWhy don’t we just legalize the Constitution? The Constitution states that only gold and silver shall be legal tender. We’d be wise to listen to the advice of those that came before us when it comes to fiat currency, bimetallism, central economic planning, etc. Gold IS real money- has been for some 5000+ years. Chart the price of many items vs. gold and the price of those items relative to gold will remain flat. Not the same for paper money.
Paper money works until it gets inflated (over produced)…and it ALWAYS eventually gets inflated by those in charge of its production. Those who produce the money do this to more easily square up their debts. It’s much easier to debase with paper and ledger entries on a computer.
Inflation is a hidden tax that nobody wants to talk about. Those that get the money first (Wall St., big corporations, etc.) benefit while the rest of us have to produce/earn more to keep up. If nothing else, we should allow for competing currencies. If the dollar is so strong then it should be fine.
February 15, 2011 at 10:45 PM #666781Participant[quote]Why don’t we just legalize the Constitution? The Constitution states that only gold and silver shall be legal tender.[/quote]
It says no such thing. It says that the Congress (i.e. the federal government) has the supreme right to issue money, and it says that states are explicitly prohibited from doing that. It also says that the Congress has the power to regulate the value of money (this power would be meaningless if only gold and silver were valid money). As an exception, it allows states to authorize gold and silver coins as legal tender (but not to mint them).
[quote]Chart the price of many items vs. gold and the price of those items relative to gold will remain flat.[/quote]
Price of an entry-level car vs. gold has gone down 5x in the last ten years. Price of a burrito at Chipotle or a pound of potato bread at Vons has gone down 4x.
[quote]Inflation is a hidden tax that nobody wants to talk about. Those that get the money first (Wall St., big corporations, etc.) benefit while the rest of us have to produce/earn more to keep up.[/quote]
There’s inflation under gold, too. Like I said, between 1.5% and 8%/year, depending on how you measure the money supply. Only in case of gold, we have no way of controlling the rate of inflation, and the benefactors are mining companies rather than Wall Street.
February 15, 2011 at 10:45 PM #666844Participant[quote]Why don’t we just legalize the Constitution? The Constitution states that only gold and silver shall be legal tender.[/quote]
It says no such thing. It says that the Congress (i.e. the federal government) has the supreme right to issue money, and it says that states are explicitly prohibited from doing that. It also says that the Congress has the power to regulate the value of money (this power would be meaningless if only gold and silver were valid money). As an exception, it allows states to authorize gold and silver coins as legal tender (but not to mint them).
[quote]Chart the price of many items vs. gold and the price of those items relative to gold will remain flat.[/quote]
Price of an entry-level car vs. gold has gone down 5x in the last ten years. Price of a burrito at Chipotle or a pound of potato bread at Vons has gone down 4x.
[quote]Inflation is a hidden tax that nobody wants to talk about. Those that get the money first (Wall St., big corporations, etc.) benefit while the rest of us have to produce/earn more to keep up.[/quote]
There’s inflation under gold, too. Like I said, between 1.5% and 8%/year, depending on how you measure the money supply. Only in case of gold, we have no way of controlling the rate of inflation, and the benefactors are mining companies rather than Wall Street.
February 15, 2011 at 10:45 PM #667447Participant[quote]Why don’t we just legalize the Constitution? The Constitution states that only gold and silver shall be legal tender.[/quote]
It says no such thing. It says that the Congress (i.e. the federal government) has the supreme right to issue money, and it says that states are explicitly prohibited from doing that. It also says that the Congress has the power to regulate the value of money (this power would be meaningless if only gold and silver were valid money). As an exception, it allows states to authorize gold and silver coins as legal tender (but not to mint them).
[quote]Chart the price of many items vs. gold and the price of those items relative to gold will remain flat.[/quote]
Price of an entry-level car vs. gold has gone down 5x in the last ten years. Price of a burrito at Chipotle or a pound of potato bread at Vons has gone down 4x.
[quote]Inflation is a hidden tax that nobody wants to talk about. Those that get the money first (Wall St., big corporations, etc.) benefit while the rest of us have to produce/earn more to keep up.[/quote]
There’s inflation under gold, too. Like I said, between 1.5% and 8%/year, depending on how you measure the money supply. Only in case of gold, we have no way of controlling the rate of inflation, and the benefactors are mining companies rather than Wall Street.
February 15, 2011 at 10:45 PM #667585Participant[quote]Why don’t we just legalize the Constitution? The Constitution states that only gold and silver shall be legal tender.[/quote]
It says no such thing. It says that the Congress (i.e. the federal government) has the supreme right to issue money, and it says that states are explicitly prohibited from doing that. It also says that the Congress has the power to regulate the value of money (this power would be meaningless if only gold and silver were valid money). As an exception, it allows states to authorize gold and silver coins as legal tender (but not to mint them).
[quote]Chart the price of many items vs. gold and the price of those items relative to gold will remain flat.[/quote]
Price of an entry-level car vs. gold has gone down 5x in the last ten years. Price of a burrito at Chipotle or a pound of potato bread at Vons has gone down 4x.
[quote]Inflation is a hidden tax that nobody wants to talk about. Those that get the money first (Wall St., big corporations, etc.) benefit while the rest of us have to produce/earn more to keep up.[/quote]
There’s inflation under gold, too. Like I said, between 1.5% and 8%/year, depending on how you measure the money supply. Only in case of gold, we have no way of controlling the rate of inflation, and the benefactors are mining companies rather than Wall Street.
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