Prove what point?Originally Posted by Steven Douglas
You've made plenty of accusations - but forgive me if I missed it, I do not see any point.
I do not think so, since for the last several pages I have been quite specific on that matter.
No, it is not.When government buys a good or service with its paper or electronic entry, it's merely an acknowledgement of indebtedness
How can you go in debt when you trade an economic good for an economic good?
You do not go into "debt" by trading an apple for an orange. Who do you owe, what do you owe, and why?
Trading money (an economic good) for another product (economic good) does not create a debt.
A debt is an obligation - and as I've asked so many times before, what obligation exists when government buys a good with money?
Correct - but that is a check - which is a PROMISE or OBLIGATION to make good at some point in the future.It's like how someone may give a person a bearer-check in return for the goods or services, the check may even be passed around from one person to another & used as money but the fact remains that it's an acknowledgement of debt, to be made good by the issuer
Money is not a check - it carries NO OBLIGATION in the future.
As hard as you try, you cannot make money into a debt.
**blink**Again, just because there's no more an obligation to pay "something", doesn't mean it's not an obligation anymore
Because there is no obligation means there is an obligation.
Eventually the contradiction rises to the top.
Do you hear the warning yet? You hold a contradiction as a fundamental part of your pet economic theory. You insist in enforcing this contradiction - but it will not make your economic theory "work".
It has not done such a thing - which is the whole point of the dialogue.Looking at your exchanges earlier in the thread with "Steven Douglas" & "Gold Standard", I don't think you understand how & why commercial bank money causes the inflationary boom
It has created a boom - a gross mis-allocation of resources = but again this is NOT inflation but a mis-allocation!
And when this mis-allocation is corrected, you get a recession = but again this is NOT deflation but a correction!
Which is my point.
You've convoluted two, independent concepts into one causation theory that is wrong
Last edited by Black Flag; 03-10-2012 at 06:02 PM.
As I've said, obligation is now unspecified & slowly people are waking up to it, again, just because someone issued a $0 bearer-check & it started circulating as "economic good", it wouldn't cease to be obligation
Again, all you must do is take out a note from your pocket & read what's on it, if you really want to know why it's an IOU, an acknowledgement of debt
No, read a little more carefully, there's an obligation but it's unspecified & as I've said, people are slowly waking up to it
Again, you make your own definitions, according to your own unique worldview but the whole of Austrian theory of business-cycle rests on it & you don't seem to understand it so I'd suggest reading more into Austrian Economics rather than assuming your unique worldview to be a fact of some sort
There is enormous inertia — a tyranny of the status quo — in private and especially governmental arrangements. Only a crisis — actual or perceived — produces real change. When that crisis occurs, the actions that are taken depend on the ideas that are lying around. That, I believe, is our basic function: to develop alternatives to existing policies, to keep them alive and available until the politically impossible becomes politically inevitable
- Milton Friedman
You continue to make a baseless claim.
I have asked, repeatedly, you to explain what "obligation" exists, and you avoid it.
Therefore, I can only conclude you do not know what you are talking about.
http://library.mises.org/books/Jorg%...%20Liberty.pdf
DEFLATION AND LIBERTY
This thread turned out to be more interesting than I originally thought...
How the heck can you claim an obligation exists if you cannot specify the obligation??? You are making up nonsense!
It says no such thing.
Again, all you must do is take out a note from your pocket & read what's on it, if you really want to know why it's an IOU, an acknowledgement of debt
It says this notes DISPELS DEBT and OBLIGATION, not that it creates one.
You are truly making up stories.
You are making up stories.No, read a little more carefully, there's an obligation but it's unspecified & as I've said, people are slowly waking up to it
"You owe, but I can't tell you what you owe, or who you owe it to"
You obviously do not know what you are talking about.Again, you make your own definitions, according to your own unique worldview but the whole of Austrian theory of business-cycle rests on it & you don't seem to understand it so I'd suggest reading more into Austrian Economics rather than assuming your unique worldview to be a fact of some sort
You can't even answer three simple questions - questions which every lender and every debtor could answer nearly instantly.
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