As a technical explanation of the fractional reserve works, but one serious incredible flaw REALLY pisses me off for one reason that makes the whole exercise outrageously silly. >.<
It centers around the myth that there is some objective standard of value out there (usually gold), and there isn't. A side effect is this whole "WOO, INFLATION" scaremongering. Inflation has a good side, in much the same way that a stock split makes more and cheaper shares available. Grrr. Will vid this.
I was following along just fine until they talked about inflation as some sort of theft. Most people don't realize that a small amount of inflation actually serves a purpose. It ensures that money circulates rather than simply being hoarded. It also reduces the debt burden on debtors. The point about the dollar losing 96% of its value over a century is moot, because you're not supposed to hold onto money for 100 years. You're supposed to spend and invest it.
@silversoul7 YES YES YES, that too! Grrr. "Hidden Tax" my furry badger butt.
It also makes debt servicing on U.S. Treasuries less onerous, making this "hidden tax" something China, Japan, and any other foreign nation holding Treasuries is ALSO paying - something they conveniently forget to mention when they're moaning about how we're in debt up to our eyeballs (hint: not as much as Japan is!).
@Santiagoaero It is part of Zeitgeist Addendum. Produced be Peter Joseph. MAny agree with his take on the state of the world. But many disagree with how we solve the problems. He recently released a "Where do we go from here" video. He has some interesting back and forth with Stefan Molyneaux, a libertarian anti-statist.
Joseph had to drop his harping on religion from his first video because it was filled with fallacies. But the other stuff is very accurate. This being the most accurate.
This is a misleading video. It should be called how money is created, not wealth. They are two very different concepts.
ruffnecs 1 month ago
Should be titled how wealth is destroyed.
judoskeleton 7 months ago
makes me wonder why our we in debt if we can creat money out of thin air? i gueese ill find out in part 2 :)
smashbeans 11 months ago
As a technical explanation of the fractional reserve works, but one serious incredible flaw REALLY pisses me off for one reason that makes the whole exercise outrageously silly. >.<
It centers around the myth that there is some objective standard of value out there (usually gold), and there isn't. A side effect is this whole "WOO, INFLATION" scaremongering. Inflation has a good side, in much the same way that a stock split makes more and cheaper shares available. Grrr. Will vid this.
theinnerbadger 11 months ago
I was following along just fine until they talked about inflation as some sort of theft. Most people don't realize that a small amount of inflation actually serves a purpose. It ensures that money circulates rather than simply being hoarded. It also reduces the debt burden on debtors. The point about the dollar losing 96% of its value over a century is moot, because you're not supposed to hold onto money for 100 years. You're supposed to spend and invest it.
silversoul7 11 months ago
@silversoul7 YES YES YES, that too! Grrr. "Hidden Tax" my furry badger butt.
It also makes debt servicing on U.S. Treasuries less onerous, making this "hidden tax" something China, Japan, and any other foreign nation holding Treasuries is ALSO paying - something they conveniently forget to mention when they're moaning about how we're in debt up to our eyeballs (hint: not as much as Japan is!).
*gnaws on things*
theinnerbadger 11 months ago
Thank you for sharing this. It helped to answer some questions I had. May I ask who produced it?
Santiagoaero 11 months ago
@Santiagoaero It is part of Zeitgeist Addendum. Produced be Peter Joseph. MAny agree with his take on the state of the world. But many disagree with how we solve the problems. He recently released a "Where do we go from here" video. He has some interesting back and forth with Stefan Molyneaux, a libertarian anti-statist.
Joseph had to drop his harping on religion from his first video because it was filled with fallacies. But the other stuff is very accurate. This being the most accurate.
alowlyapprentice 11 months ago
( O )
Your powers....have GROWN! =:o
TheMercilessEye 11 months ago
@TheMercilessEye Always had these powers. It is rare that I show them. XD
alowlyapprentice 11 months ago