"Inflation Is How We Become Wealthier"

[PBrady]

...or so says BJ Lawson's primary opponent :D:D:D:

YouTube - Frank Roche on Inflation (http://www.youtube.com/watch?v=dtfyNjgOeUU)

[awake]

He is half right, inflation is a tax; it is how his governing class gets wealthier. By transferring money from the taxpayers to the political leviathan who pays him to promote the idea.


When he says "we" he really means the rulers, himself included, not the serfs. Public good = the governing class's own good.

[PBrady]

lol...this guy isn't even the incumbent. But it's not surprising that one would think that. He's got politician written all over him.

[Original_Intent]

I always wanted to be a millionaire! and soon it is going to happen!

The fact that a loaf of bread will cost a million dollars is irrelevant!!!:D

[jkr]

When he says "we" he really means the rulers, himself included, not the serfs. Public good = the governing class's own good. yeah "we" isn't necessarily you...

[RforRevolution]

Funniest ending ever!

[nate895]

I nearly got into an argument with my econ teacher a couple of hours ago on a very similar subject. Just before I had been arguing with a kid in the back about the minimum wage and illegal immigration.

[spudea]

my expertise is economics and finance

[AlexMerced]

man, I can talk econ all day, I'm becoming pretty freaking good in seeing the holes in people arguments and coming up with my own ideas... not that it has amounted to anything... no one watches my videos

[mikem317]

If by "we" he means the "state" then he's right.

Inflation does transfer wealth. He's not lying. It transfers wealth from the savers to the spenders. From the prudent to the irresponsible. And the United States government is one of the biggest irresponsible spendthrifts that ever existed.

Of course, he's totally misrepresenting this, either consciously or not.

[AlexMerced]

If by "we" he means the "state" then he's right.

Inflation does transfer wealth. He's not lying. It transfers wealth from the savers to the spenders. From the prudent to the irresponsible. And the United States government is one of the biggest irresponsible spendthrifts that ever existed.

Of course, he's totally misrepresenting this, either consciously or not.

Price Fixing In general divert resources, what price is more important than that of money since it's half of every transaction, that's a massive price to use to divert resources.

Silly humans... thinking they can manage an economy...

[Mike4Freedom]

The banking system we have today can create wealth. You have to use leverage on a big scale to achieve that wealth. For example:

Borrowing large sums of money and investing in an asset that pays more then the money you owe.

I would rather we have the old fashion way of saving and investing here and there to achieve wealth.

Now you have to actually go in debt(good debt) to get rich if you dont have a job that pays 100K a year.

[mikem317]

Price Fixing In general divert resources, what price is more important than that of money since it's half of every transaction, that's a massive price to use to divert resources.

Silly humans... thinking they can manage an economy...

Right. The FED manipulates the cost of capital and the stock of available money (but FRNs are really a money substitute). So there's two manipulations in play, fiscal and monetary policy. Plus, you're under mandate to accept the FRNs through legal tender laws.

In a perfect world, Article I, Section 8 would be amended to remove the government from any monetary function. I should be left to the free market and not the heavy hand of the state.

[AlexMerced]

The banking system we have today can create wealth. You have to use leverage on a big scale to achieve that wealth. For example:

Borrowing large sums of money and investing in an asset that pays more then the money you owe.

I would rather we have the old fashion way of saving and investing here and there to achieve wealth.

Now you have to actually go in debt(good debt) to get rich if you dont have a job that pays 100K a year.

I'm not sure if that's creating wealth or taking advantage of arbitrage of the ever increasing money supply. Also this is not wealth creation, it's wealth transfer, cause when you close you margin position someone else bought the assuming overvalued asset from you who will suffer the loss of your gain when the market deleverages.

This happens cause of the short time horizon create by the modern corporate structure, which is a free market creation but a creation of lawyers which separate liability from executives and shareholders and allows them to quickly dump their investment.

If an investor can quickly dump their investment capital will gravitate towards short term investment instead of investments with more sustainable growth... which do create wealth cause when you sell it your cashing but at the same time allowing the future growth to go the person you sold it to.

[AlexMerced]

Right. The FED manipulates the cost of capital and the stock of available money (but FRNs are really a money substitute). So there's two manipulations in play, fiscal and monetary policy. Plus, you're under mandate to accept the FRNs through legal tender laws.

In a perfect world, Article I, Section 8 would be amended to remove the government from any monetary function. I should be left to the free market and not the heavy hand of the state.

actually I'd just make it a market function not a state function, although states can set the money which private banks will create substitutes based on.

Actually... I do kind think Article 1 Section 8 got it right, let gold and silver be the money, and let the government create standard units, but let the private banks with no central bank or FDIC to handle the monetary substitute market.

[MN Patriot]

man, I can talk econ all day, I'm becoming pretty freaking good in seeing the holes in people arguments and coming up with my own ideas... not that it has amounted to anything... no one watches my videos

The market is telling you to make your videos more interesting than you talking to the web cam.

Sorry to be so blunt, but animations, charts, graphs, video clips, etc with good narration will bring in more customers. But don't overdo the animations with gee-whiz text graphics like some videos I have seen.

[AlexMerced]

lol, good point, I need graphs, very colorful graphs. Richard Wolff may be a way off on his explanation of the crisis, but his DVD has pretty animated graphs... and this is why people listen to him so much.

I need animated graphs... Aravoth is you read this you need to add cool graphs to my videos