?

Log in

No account? Create an account

Money as Debt

« previous entry | next entry »
Nov. 12th, 2007 | 01:36 pm
mood: complacentcomplacent

This seems to bring together a lot of things I knew individually to be true about money, but hadn't really considered all together:
http://video.google.com/videoplay?docid=-9050474362583451279

I'd be interested in hearing any comments. The simplest things seem to inspire controversy -- people get labeled as crackpots even when they're just referring people to primary sources, definitions, and written laws. There's too much la la la I can't hear you in the world.

Link | Leave a comment |

Comments {26}

Triple Entendre

(no subject)

from: triple_entendre
date: Nov. 14th, 2007 01:12 am (UTC)
Link

by "newly created money", I mean the money that happens when you (person A) borrow money from a bank, deposit that money in another bank, and it is then (in part) loaned out by that second bank to someone else (person B). The money that person B now has doesn't come from anywhere. Or the original money you deposited is now in more than one place at a time, which amounts to exactly the same thing.

This property *not* being present in Ripple, and I assume that's a good thing, but I don't know enough to say for certain.

Reply | Parent | Thread

JP Sugarbroad

(no subject)

from: taral
date: Nov. 14th, 2007 01:36 am (UTC)
Link

Ah, that kind of created money. I don't see what's wrong with it. Banks are like any other business, but they increase the money supply instead of the velocity. Same macroeconomic effect.

Reply | Parent | Thread

Triple Entendre

(no subject)

from: triple_entendre
date: Nov. 29th, 2007 10:24 am (UTC)
Link

Alternatively, this suggests that whatever it is that's wrong with banks is also a problem with any other business, or that they have a different problem with a similar effect to it.

Reply | Parent | Thread