The Fed has Eliminated Reserve Requirements for All Depository Institutions

Discussion in 'Economics' started by gaussian, May 25, 2020.

  1. Trader Curt

    Trader Curt

    Oh yes it can. Stop being lazy and get the calculator out.

    That's fine. Let them investigate my Starbucks purchases and tax payments. The only thing they will find out is that I'm a good law abiding citizen.
     
    Last edited: May 26, 2020
    #51     May 26, 2020
  2. Trader Curt

    Trader Curt

    It's going great, i'm reporting my earnings and paying taxes. Everything I'm doing is 100% legal. Thanks for asking
     
    #52     May 26, 2020
  3. Edmond

    Edmond



    even buried in plastic bags it will still get wet.
     
    #53     May 26, 2020
  4. 931

    931

    That's true, it will get ugly over the years, wet soaked may not be acceptable.
    I would highly recommend wrapping it in many layers of plastic bags.
    Also throw humidity regulators in there.
     
    #54     May 26, 2020
  5. Tradex

    Tradex

    ANY currency not backed up by gold (let alone created by a freaking computer) is worthless, period.

    In fact paper money should not exist at all, unless it is 100% backed up by gold.[​IMG]
     
    #55     May 26, 2020
  6. schizo

    schizo

    I guess you can use it in the toilet. Wouldn't wanna let the good paper go to waste.

    upload_2020-5-26_10-52-21.png
     
    #56     May 26, 2020
    Turveyd and Tradex like this.
  7. Turveyd

    Turveyd

    Plastic in the UK, no use for anything :(
     
    #57     May 26, 2020
  8. Sig

    Sig

    "There is nothing that the International Jew fears so much as the truth, or any hint of the truth about himself or his plans"
    Henry Ford, founder of the Ford Motor Company.

    The guy was a rabid anti-semite convinced that Jews were involved in a conspiracy to take over the world through the banking system. Your quote actually reflects that belief. He was great at building a manufacturing company, but his thoughts on our banking and monetary system are so fatally intertwined with his conviction of this Jewish banking conspiracy that they're worse than rubbish.
     
    #58     May 26, 2020
  9. Sig

    Sig

    And how many ounces of gold should be needed to buy a loaf of bread? An arbitrary amount that can float to any value whatsoever? No matter what arbitrary thing you use as currency you have the same issue.

    And let's think seriously about this gold (or any other relatively fixed amount store of value) concept. Imagine we set The Arbitrary Mineral (AM) Standard when there were 10 people on earth and 100 ounces of AM. It made sense then that a car should cost .1 oz AM, after all everyone had 10 ounce of AM so that seemed about right. Go forward 100 years and now there are 1000 people on earth. Now if AM is evenly distributed everyone has only .1 oz of AM. They would need to use their entire supply of AM to buy a car. Clearly a fixed amount of something doesn't work as a currency then as populations change in size, and if you have a basic grasp of economics you know this is even more true as economies change in size. So what happens? The value of AM will float so that it takes far fewer oz of AM to buy a car. And you're back to a floating currency value.

    But we can mine more AM you say. Great, let's tie our rate of expansion to something even more arbitrary, the difficulty of mining a certain mineral out of the ground. Someone finds a big AM deposit...inflation! Population grows and we don't mine much AM....deflation! Sounds wonderful. We left the gold standard and simultaneously entered the period of greatest growth in the worlds history at the same time for a reason, it wasn't coincidence. And before we left the gold standard....yep you guessed it, prices were never constant with respect to gold.

    Take a macro class, there are lots of free MOOCs that are taught by great professors. You'll not only learn about econ, but how to think through your ideas. I think you'll find it well worth your while.
     
    #59     May 26, 2020
    albion and TooEffingOld like this.
  10. Sig

    Sig

    Since the Federal Reserve was created in 1913 and it's 2020, that means it lost less than 1% of its value per year. It turns out that pretty much the only years where the economy shrunk during that time period was the Great Depression when the dollar gained value. Mild inflation is a good think for economies, deflation is devastating. Again with the Macro class for you!
     
    #60     May 26, 2020