My score – “20 years. after the apocalypse. If you go out, it won't be through lack of trying. It'll be bad luck that gets you in the end. You're basically Mel Gibson in Mad Max”. ...I need some zombie protection for sure !
but on the "macro" side, and if we look into history, "money" has been a problem that we humans have not been able to "deal/act" properly. Even Socrates had a few. one of my favorite that still actual is this none:
"The budget should be balanced, the Treasury should be refilled, public debt should be reduced, the arrogance of officialdom should be tempered and controlled, and the assistance to foreign lands should be curtailed lest Rome become bankrupt. People must again learn to work, instead of living on public assistance. — Cicero , 55 BC
interesting that you bring this. that brings me this one
—- Congressman Patman: “How did you get the money to buy those two billion dollars worth of Government securities in 1933?”
Federal Reserve Governor Eccles: “Out of the right to issue credit money.”
Patman: “And there is nothing behind it, is there, except our Government’s credit?”
Federal Reserve Governor Eccles: “That is what our money system is. If there were no debts in our money system, there wouldn’t be any money.”
Congressman Fletcher: “Chairman Eccles, when do you think there is a possibility of returning to a free and open market, instead of this pegged and artificially controlled financial market we now have?”
Federal Reserve Governor Eccles: “Never, not in your lifetime or mine.”
– Marriner Stoddard Eccles (1890-1977) US banker, economist, and Chairman of the Federal Reserve (1934-48). Source: during hearings of the House Committee on Banking and Currency, September 30, 1941
“With the exception only of the period of the gold standard, practically all governments of history have used their exclusive power to issue money to defraud and plunder the people.”– Fredrich August von Hayek (1899-1992), Nobel Laureate of Economic Sciences 1974
i believe you are talking about money supply and how affects surplus and/or deficit and debt.
we produce for consuming, either directly what we produce or by trading with someone else - both local or international. but if you have international trade then a trade deficit normally occurs. trade deficit is essentially borrowing from the future.
"credit" is a different issue. it is similar to "money creation", by debt.
it's easy to lose track and fall into conspiracy theories... if you dont "listen" carefully.
US finances its government spending mainly by bonds - not currency, and US owes more than the total currency in circulation.thats is the fact.
i dont have an "answer" for your statement as there are other "equations" to be validate. but it is a risk, if some of the elements dont "flow" (russia, china, europe, and Bric mainly).
anyway, we have and need to look into history. Great Depression started from lees.
Everyone is in debt because money is created through debt.
most currency is "loaned into existence", meaning that there is interest attached to it as a principal debt. In the case of US, here how it works:
1. the government asks the federal reserve to create more currency. 2. The federal reserve creates that currency from nothing, without putting up collateral or labor. Then the federal reserve loans it to the government, at interest.
but if look carefully, you realize that the united states owes 100% of the united states currency in circulation, plus 6% interest. so here is your $45,966.44 , to start.
See this link for an easy explanation of the "money".
"If the American people ever allow private banks to control the issue of their money, first by inflation and then by deflation, the banks and corporations that will grow up around them, will deprive the people of their property until their children will wake up homeless on the continent their fathers conquered."-Thomas Jefferson
the question is that "Countries" dont own the debt, but "investors" do most of the time (exception China sometimes). what means that Countries are less than most of the financial world
i see your point, but you are mixing two "ideas" and context -trade and money creation/goverment expenditures. (by the way, I agree with both your premises).
1. the money to pay back the debt does not exist in the system, unless you create it as more debt. look into how money is created first.
2. even if every pound, euro and dollar was put in the system it is mathematically impossible to reach zero debt. trhere's just not enough "money" in the world to pay it off all the debt, unless you change the monetary system.
3. most money is "compensated" with debt, not actual values.
“The study of money, above all other fields in economics, is one in which complexity is used to disguise truth or to evade truth, not to reveal it. The process by which banks create money is so simple the mind is repelled. With something so important, a deeper mystery seems only decent.” – John Kenneth Galbraith, Canadian-born economist, Harvard professor. Source: ‘Money: Whence it came, where it went’ (1975)
no, it does not. beacuse the way how money is "created", and nature of private central banks, there will always be "debt". more than there is actual "money".
the article is about trade debt. not "national debt". but very good point if you take "money" out of the equation.
Oh I see. the first paragraph is a quote from the site. that is "in context" of global debt.
my questions has to do with the concept of "debt" and "money". where is debt a "asset" or a burden to the people (all). and where is the money in debt.
it will affects us. if you look in the economies in "debt" - Ireland, Portugal, Spain or Greece (or Argentine now), we (everyone) wiull have to pay for "new" money, as governments will have to borrow money. so at the end, you and i have to pay for that. by new taxes.
How Long Would You…. In an Apocalypse?
ditch filled with sharks.... perfect for zombies !!