tag:blogger.com,1999:blog-4102429195693595750.post7782627445708571390..comments2024-02-24T19:10:00.395+02:00Comments on Sudden Debt: The Fisher-Bernanke Snake OilHellasioushttp://www.blogger.com/profile/03564511281240682625noreply@blogger.comBlogger21125tag:blogger.com,1999:blog-4102429195693595750.post-58717741124575612892009-11-02T20:09:43.806+02:002009-11-02T20:09:43.806+02:00Fabulous post. Great comments too.Fabulous post. Great comments too.Unknownhttps://www.blogger.com/profile/02602715415245707973noreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-36381044721523987812009-10-27T18:46:23.132+02:002009-10-27T18:46:23.132+02:00Hell,
On your previous post, you said that the sho...Hell,<br />On your previous post, you said that the short term Treasury market indicates great optimism. As a small-time trader, do you have any suggestions for how to play this imbalance? <br /><br />Do you see long-term rates falling and short-term rising, with a flattening yield curve?Obfuscationnoreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-13675551439185701542009-10-27T09:18:55.937+02:002009-10-27T09:18:55.937+02:00Thanks, Thee Earl, for the link. It was so delicio...Thanks, Thee Earl, for the link. It was so deliciously brit and made my day.Debrahttps://www.blogger.com/profile/01510189619803992336noreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-82465056545461512412009-10-26T18:34:56.948+02:002009-10-26T18:34:56.948+02:00Saw this posted on I tulip. Pretty good:
http://w...Saw this posted on I tulip. Pretty good:<br /><br />http://www.youtube.com/watch?v=w5EFEQ9aY6oThee Earl of Obviousnoreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-45034964409727401192009-10-26T18:19:49.166+02:002009-10-26T18:19:49.166+02:00If the solution is to cancel debt would creditors ...If the solution is to cancel debt would creditors be overthrown by the debtors? If so then they would be the ones to decide what to anchor money to and how to create income.<br /><br />Seems more radical than bringing back debtor prison or at least compulsory "work" programs.Thee Earl of Obviousnoreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-77695323334575761742009-10-26T03:49:07.063+02:002009-10-26T03:49:07.063+02:00But they made great flipper movies till thenBut they made great flipper movies till thenThaihttps://www.blogger.com/profile/00700253024420397221noreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-28029867917025646152009-10-25T04:56:11.944+02:002009-10-25T04:56:11.944+02:00Miami saw its real estate markets crash catastroph...<i>Miami saw its real estate markets crash catastrophically during the Great Depression. That promoted the influx of low wage immigrants from the Carribean and South America and retiree Snow Birds from Canada.</i><br /><br />But look how long it took. Florida real estate crashed <i>before</i> the GD, in the 1920's. People didn't start retiring in mass there until the 60s and 70s, and Carribean and South Americans didn't arrive until the 70s and 80s. Fifty to sixty years for "a major regional hub" to come about.Jenna's Bushnoreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-65349379161496868272009-10-25T04:09:03.482+02:002009-10-25T04:09:03.482+02:00Hell wrote:
"I believe that the concept of f...Hell wrote:<br /><br />"I believe that the concept of fiat money as a storehouse for "value", is inherently flawed and thus prone to instability."<br /><br />-Agreed, but for my own part, I didn't mention fiat, much less equate it with a store of value. In fact, nothing I've ever written, here or elsewhere, has ever suggested that.<br /><br />Gold is money, always has been, and it will outlast every fiat currency on the planet as a medium of exchange.Edwardohttps://www.blogger.com/profile/03613197383283896190noreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-91468555941894760532009-10-25T02:13:06.790+03:002009-10-25T02:13:06.790+03:00Hel,
We are indebted to your service, I thank you...Hel, <br />We are indebted to your service, I thank you. You clear writing and extensive knowledge about this problem is both educational and inspires hope for a solution. <br /><br />About solutions:<br /><br />What needs to be done? I have laid out my proposals several times, so I will only provide the headlines here:<br /><br /> 1. Straight debt cancellation for a portion of debt, particularly for the "bottom" 80% of the population.<br /> 2. Anchor the dollar and money supply to the real Green/Sustainable economy via The Greenback.<br /> 3. Focus government action on income creation, instead of asset/credit/debt protection.<br /><br />How do we go about effecting these and other useful fixes to the problem? What do you see as the path or strategy to implementation of solutions?marcusnoreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-16696400290518587212009-10-24T15:21:48.082+03:002009-10-24T15:21:48.082+03:00My question is: if proposals like these are not en...My question is: if proposals like these are not enacted (and one could say that the opposite is being done: cheap money, more leverage, more big), what will happen next?<br />Small disfunctional (think Japan)? Depression like? Hyperinflation and war?<br /><br />Also, the solutions after the 29 depression/WWII were based on "growth". Will we have a Malthusian vengeance with peal-oil and resource depletion? Therefore a composing of "mortgage the future" with resource depletion?Tiagohttps://www.blogger.com/profile/09130634176057923895noreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-49046897094993671442009-10-24T12:10:12.593+03:002009-10-24T12:10:12.593+03:00Sleepblogging, Hell ?...Sleepblogging, Hell ?...Debrahttps://www.blogger.com/profile/01510189619803992336noreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-40598236395430866332009-10-24T12:06:54.719+03:002009-10-24T12:06:54.719+03:00Sorry, Hell, and Okie for belatedly responding to ...Sorry, Hell, and Okie for belatedly responding to Okie's link on "naked" (like that one, good for a Puritanical country...) short selling.<br />Lapidary comment on my part : what happened to Bear and Lehmann is the LOGICAL result of...selling non-existant stock ON THE VERY PREMISE of a (worthless) fiat currency. It is the LOGICAL conclusion of a floated fiat currency "economy". (And I will add that the non-existant stock is the... logical conclusion of the floated fiat currency too...)<br />The Merchant of Venice,, Act I,iii, 90-93<br />Antonio : Was this inserted to make interest good ?<br />Or is your gold and silver ewes and rams ?<br />Shylock : I cannot tell ; I make it breed as fast.<br /><br />One idea that you're missing, Hell. There is a certain amount of social control exerted to MAKE PEOPLE BEHAVE that can't come from any regulatory, punitive instrument ; it can ONLY come from a positive... IDEOLOGY that allows men to believe in something towards which they are willing to work and which brings them together in a spirit of cooperation. All the spanking/regulation in the world just can't ensure good behavior.<br />But you are definitely right to concentrate on the POSITIVE aspects of your proposals.<br />Will the GREEN ideology bring us together this way ? Not if it takes the form of the OLD ideologies...Debrahttps://www.blogger.com/profile/01510189619803992336noreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-8454743217571953032009-10-24T10:27:53.863+03:002009-10-24T10:27:53.863+03:00I believe that the concept of fiat money as a stor...I believe that the concept of fiat money as a storehouse for "value", is inherently flawed and thus prone to instability.<br /><br />Economic value is stored only in assets and knowledge. Yes, we can measure it in dollars and euro, but we can't substitute one for the other.<br /><br />Best,<br />H.Hellasioushttps://www.blogger.com/profile/03564511281240682625noreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-80679122507848404772009-10-24T01:03:53.390+03:002009-10-24T01:03:53.390+03:00By my runes, Do Buy might be able to look forward ...By my runes, Do Buy might be able to look forward to a bright future (pun not intended) had its creators possessed the foresight to tap the region's abundant endowment of solar energy. In the absence of doing so, I say, let them eat sand. <br /><br />Debra offers that money is to debt as food is to shit. What an intriguing idea. Let's see, if we define money as "a store of value" and define debt as money that has been, by hook or by crook, denuded of its store of value, the comparison is most apt. Food is, after all, synonymous with a value add mechanism, and excrement is, by definition, what remains after the value add has been, as it were, subtracted. <br /><br />At least farmers can find some use for ca ca, not so bankers with dead CDS.Edwardohttps://www.blogger.com/profile/03613197383283896190noreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-48620238732880806222009-10-23T22:27:14.663+03:002009-10-23T22:27:14.663+03:00the result of fallible human beings optimistically...<i>the result of fallible human beings optimistically extrapolating demand too far out of reality's reach.</i><br /><br />And yet one cannot really do anything else but to run with the crowd can one? <br /><br />You are a fund manager, Being a smart guy you *know* that Dubai will blow up; you are also painfully aware that your colleagues are taking 10,20,30% pro/anno on leveraged bets with Dubai property investments, that your performance review is coming up and "they" sack from the bottom up. <br /><br />Maybe Dubai wont blow up after all, or at least not soon, not before your promotion anyway, so its OK.fajensennoreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-39302558638513092372009-10-23T20:18:11.763+03:002009-10-23T20:18:11.763+03:00Anybody care to call my hand ?
I kind of get the i...Anybody care to call my hand ?<br />I kind of get the impression that the relationship between money and debt COULD be a little bit like the relationship between... food and shit.Debrahttps://www.blogger.com/profile/01510189619803992336noreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-12157407411567033742009-10-23T20:13:39.815+03:002009-10-23T20:13:39.815+03:00But throughout the world money is also debt. It se...But throughout the world money is also debt. It seems to me that this would have to be a global reset so, Hellasious, is the proposal tantamount to canceling 80% of the world's money ?Keenanhttps://www.blogger.com/profile/12688238140382533518noreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-92195139008807435622009-10-23T19:26:12.033+03:002009-10-23T19:26:12.033+03:00London Banker has a point.
Once the pitchfork wiel...London Banker has a point.<br />Once the pitchfork wielding southerns whose habitat has been destroyed by our unadulterated inane greed (and indifference...) manage to catch the ferry, they will be inhabiting those luxury vacation homes as squats, whether the owners like it or not...<br />What COULD be a source of despair is that every generation just has to learn the hard way, right ?<br />Most people just seem to conclude that... it happened in the past, and the past is.. THEM, whereas, US, well, that's a different story.<br />As Greenie said, for US, the sun is going to rise in the West...<br />Thanks for the history, Hell. You do that REALLY well.Debrahttps://www.blogger.com/profile/01510189619803992336noreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-44224593974771697112009-10-23T18:47:22.704+03:002009-10-23T18:47:22.704+03:00I'm visiting one of the bubble economies that ...I'm visiting one of the bubble economies that used debt to accelerate its development path straight to over-capacity. Demand for housing and CRE here is unlikely to catch up with supply in less than 25 years. And yet . . .<br /><br />If someone were to ask my opinion of similar places, including Dubai, I would say that these are the new Miami. Miami saw its real estate markets crash catastrophically during the Great Depression. That promoted the influx of low wage immigrants from the Carribean and South America and retiree Snow Birds from Canada. They took up the slack at much, much lower prices and created a major regional hub in the process.<br /><br />Sure value is going to be destroyed. But something of value will remain, and provide the basis for future growth.London Bankernoreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-84834627290040570902009-10-23T17:56:47.506+03:002009-10-23T17:56:47.506+03:00Excellent post. I especially liked your descripti...Excellent post. I especially liked your description of today's purely fiat money. Whereas, it is devoid of reality anchors.<br /><br />It will return to its intrinsic value of zero, like all fiat has throughout history. Much sooner than anybody realizes.<br /><br />Joe M.Joehttps://www.blogger.com/profile/16005483996588605077noreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-73826063118428098982009-10-23T17:54:10.357+03:002009-10-23T17:54:10.357+03:00I've always liked those three ideas of yours.
...I've always liked those three ideas of yours.<br /><br />1. Cancel debt.<br />2. Anchor money.<br />3. Create income.<br /><br />So simple. But can it really be done? The modern world has a phobia of simplicity.Trebuchethttps://www.blogger.com/profile/09985664863838276012noreply@blogger.com