this is a story that never would have surfaced 10 years ago. Thank you internet.
So many financial "experts" in government are needed to maintain this fiction about dollar "reserve assets", in the form of US treasuries. One country's assets become another country's liability, and this is an example of that design flaw. Now the US government has a way to borrow fiat dollars against an "asset" that isn't really a thing either. To think our forefathers lived in a world where the money reserve (gold) was actually real.
What I haven't pieced together is why no country in the world doesn't revert back to gold reserves and thereby become a magnet for inveestment? I can only guess the incentives of power resist it with force, as El Salvador experienced when using BTC as money and the IMF swooped in with punishment.
And remember what the US did to Muammar Gadaffi, and why they did it.
He started to go with gold, instead of USD, and they killed him for that.
It seems to be a deserved karma that the USD, and all fiat currencies would be destroyed by their own usury debt. Maybe we should try eliminating usury and debt?
yes, the message sent to Gadaffi is well remembered.
Usury and debt are not immoral and should not be demonized, but the consequences should be felt by those who use it poorly. With fiat, errors are socialized and savers punished. Hard money enforces market discipline.
good pattern recognition brain. The repricing from $45 to make up your favorite number by the US treasury is the solution to the debt problem never discussed by mainstream economists. It is simultaneously a recognition of debasement over the past 55 years and a clever solution to the debt problem outside of kicking the can down the road.
Someone will get hurt of course, and the ruling class NEVER chooses the option where they get hurt. I’m not a bond person at all, so I wonder how the bond market would respond? Cataclysmic?
agreed. It would be deflationary. It would be healthy. Sound money doesn’t mean there is no pain. It just means that the people who deserve pain get it, rather than the other way around.
this is a story that never would have surfaced 10 years ago. Thank you internet.
So many financial "experts" in government are needed to maintain this fiction about dollar "reserve assets", in the form of US treasuries. One country's assets become another country's liability, and this is an example of that design flaw. Now the US government has a way to borrow fiat dollars against an "asset" that isn't really a thing either. To think our forefathers lived in a world where the money reserve (gold) was actually real.
What I haven't pieced together is why no country in the world doesn't revert back to gold reserves and thereby become a magnet for inveestment? I can only guess the incentives of power resist it with force, as El Salvador experienced when using BTC as money and the IMF swooped in with punishment.
And remember what the US did to Muammar Gadaffi, and why they did it.
He started to go with gold, instead of USD, and they killed him for that.
It seems to be a deserved karma that the USD, and all fiat currencies would be destroyed by their own usury debt. Maybe we should try eliminating usury and debt?
yes, the message sent to Gadaffi is well remembered.
Usury and debt are not immoral and should not be demonized, but the consequences should be felt by those who use it poorly. With fiat, errors are socialized and savers punished. Hard money enforces market discipline.
No country can go back to the gold standard, it is deflationary.
This is exactly why gold has to be repriced at $22K and then have Gold back at least 40% theUS dollar
good pattern recognition brain. The repricing from $45 to make up your favorite number by the US treasury is the solution to the debt problem never discussed by mainstream economists. It is simultaneously a recognition of debasement over the past 55 years and a clever solution to the debt problem outside of kicking the can down the road.
Someone will get hurt of course, and the ruling class NEVER chooses the option where they get hurt. I’m not a bond person at all, so I wonder how the bond market would respond? Cataclysmic?
agreed. It would be deflationary. It would be healthy. Sound money doesn’t mean there is no pain. It just means that the people who deserve pain get it, rather than the other way around.
For a change, punish debtors rather than savers.
I would like that too. The government will take care of the government, they are the largest debtors
Eyes Wide Open: Don't Fall Asleep.
If you look at net foreign debt, then Japan isn’t as bad as it seems as it has significant assets. The US actually has a higher net debt ratio.
fren.
GM
the daylight matched my blacklight an hour ago.
gn for me you are well shared
Stop