We are on the Verge of Economic Catastrophe

[jonatha]

I asked SPECIFICALLY about stablecoins. These are supposedly tied, for better or worse, to the U.S. dollar. $100 in "stablecoins are supposed to provide $100 in US Dollars when you cash out.

So tell me again what their "purpose" is.

To (in effect) do cash transactions over the internet.

 

[RVonse]

I'm afraid I'll be accused of being a "gold bug" but gold glitters, it feels heavy, and it is readily distinguished from gilted tungsten. (And if I wanted to transport gold across a border, I could convert it shares in the SGOL ETF.)

Shares in SGOL ETF are easily controlled by our government. The same government that will save itself at any cost during a currency crises, they will enact controls to make sure you can not move your ETF so they can steal it from you.

The government can not do this with bitcoin or gold (which can be hidden).

 

[RVonse]

Are you blaming "the fed"?

Yes. The fed prints (counterfeits) more dollars into circulation causing the existing dollars to be worth less (inflation).

A nation can not be a world class producer without an honest currency that does not continually inflate itself away. Producers and business need this stability to know for certain what their real costs and overhead is.

 

[Swammerdami]

Are you blaming "the fed"?

Yes. The fed prints (counterfeits) more dollars into circulation causing the existing dollars to be worth less (inflation).

Wrong. The Fed delivers paper money to (or more commonly, credits accounts of) its Member Banks in exchange for lawful U.S. money or for Treasury obligations purchased openly at the market price. Most U.S. "money" (as measured by M2) is created by private banks.

A nation can not be a world class producer without an honest currency that does not continually inflate itself away. Producers and business need this stability to know for certain what their real costs and overhead is.

Wrong again. The U.S. Fed has set a target inflation rate of 2.0% (on CPILFESL) and, with a few exceptions, has done a good job of adhering to that target rate. Businesses know this is the target rate and plan accordingly. Inflation did exceed 4% during 1967-1971, 1973-1983, 1989-1991, and 2021-2023. Fluctuations in price levels were much more severe than this during the Gold Standard era. I've attached an image to help you appreciate that. Annual deflation of 4% to 10% or more was common during the first half of the 19th century. Inflation was huge during the Civil War and during WWI -- and these periods were during the Gold Standard era! See from the graph that beginning in the mid-1980's we live in an era of relatively stable prices. (Again: PREDICTABLE low-level inflation, e.g. 2%, IS stable.)

By way of comparison, Japan's annual CPI inflation exceeded 20% throughout the mid 1970s while U.S. inflation barely exceeded 11% during this time.

By the way, Brent crude oil was $21 in 2001 and $139 in 2008. Other commodities have also shown sharp fluctuations. This leads us to ... Spoiler alert: prices fluctuate independent of any conspiracy of Hillary's deep state or Jewish bankers or wtf you or Alex Jones think controls prices.

Now 2% inflation is NOT the same as 0% inflation. A prudent saver might try to seek a 2% safe return rather than keeping his banknotes under his mattress. The advantages of 2% compared with 0% have been explained to you over and over and over and over and over and over. If you are STILL confused about this, ask us to suggest some search terms, or for help composing an AI chatbot query.

 

[Swammerdami]

I asked SPECIFICALLY about stablecoins. These are supposedly tied, for better or worse, to the U.S. dollar. $100 in "stablecoins are supposed to provide $100 in US Dollars when you cash out.

So tell me again what their "purpose" is.

To (in effect) do cash transactions over the internet.

PayPal, etc., bank apps. Even *I* can transfer via phone and I'm almost a Luddite. I live in Chiang Mai and many people here NEVER use cash -- Just to buy a Coke™ (and whether it's sold by human or kiosk) they point their phone at a QR code. (To transfer more than $3000 or so the app will turn on my camera and tell me when to blink my eyes.)

Yes, the bank will know whom I paid and the government can send in jack-booted storm troopers to force the bank to divulge my Coke™ purchase. But what is the (non-criminal) reason I should prefer to spend stable-coin?

 

[jonatha]

I asked SPECIFICALLY about stablecoins. These are supposedly tied, for better or worse, to the U.S. dollar. $100 in "stablecoins are supposed to provide $100 in US Dollars when you cash out.

So tell me again what their "purpose" is.

To (in effect) do cash transactions over the internet.

PayPal, etc., bank apps. Even *I* can transfer via phone and I'm almost a Luddite. I live in Chiang Mai and many people here NEVER use cash -- Just to buy a Coke™ (and whether it's sold by human or kiosk) they point their phone at a QR code. (To transfer more than $3000 or so the app will turn on my camera and tell me when to blink my eyes.)

Yes, the bank will know whom I paid and the government can send in jack-booted storm troopers to force the bank to divulge my Coke™ purchase. But what is the (non-criminal) reason I should prefer to spend stable-coin?

The main attribute of cash is anonymity, which may be desired for noncriminal reasons.

 

[RVonse]

Are you blaming "the fed"?

Yes. The fed prints (counterfeits) more dollars into circulation causing the existing dollars to be worth less (inflation).

Wrong. The Fed delivers paper money to (or more commonly, credits accounts of) its Member Banks in exchange for lawful U.S. money or for Treasury obligations purchased openly at the market price. Most U.S. "money" (as measured by M2) is created by private banks.

A nation can not be a world class producer without an honest currency that does not continually inflate itself away. Producers and business need this stability to know for certain what their real costs and overhead is.

Wrong again. The U.S. Fed has set a target inflation rate of 2.0% (on CPILFESL) and, with a few exceptions, has done a good job of adhering to that target rate. Businesses know this is the target rate and plan accordingly. Inflation did exceed 4% during 1967-1971, 1973-1983, 1989-1991, and 2021-2023. Fluctuations in price levels were much more severe than this during the Gold Standard era. I've attached an image to help you appreciate that. Annual deflation of 4% to 10% or more was common during the first half of the 19th century. Inflation was huge during the Civil War and during WWI -- and these periods were during the Gold Standard era! See from the graph that beginning in the mid-1980's we live in an era of relatively stable prices. (Again: PREDICTABLE low-level inflation, e.g. 2%, IS stable.)

By way of comparison, Japan's annual CPI inflation exceeded 20% throughout the mid 1970s while U.S. inflation barely exceeded 11% during this time.

By the way, Brent crude oil was $21 in 2001 and $139 in 2008. Other commodities have also shown sharp fluctuations. This leads us to ... Spoiler alert: prices fluctuate independent of any conspiracy of Hillary's deep state or Jewish bankers or wtf you or Alex Jones think controls prices.

Now 2% inflation is NOT the same as 0% inflation. A prudent saver might try to seek a 2% safe return rather than keeping his banknotes under his mattress. The advantages of 2% compared with 0% have been explained to you over and over and over and over and over and over. If you are STILL confused about this, ask us to suggest some search terms, or for help composing an AI chatbot query.

View attachment 52038

If you are wanting to be technical then inflation starts with the fed and gets implemented by the banks. And if this is your idea of 2% inflation I do not want any part of it:

The Purchasing Power of the Dollar -What is $100 worth in 1913 over time?​

1913: $100
1923: $57.89
1933: $76.15
1943: $57.23
1953: $37.08
1963: $32.35
1973: $22.30
1983: $9.94
1993: $6.85
2003: $5.38
2013: $4.25
2019: $3.87

And if I have a dollar today why do I even want to worry about earning more than 2% interest just to stay even? I would rather put it in the bank and have it be worth more tomorrow with deflation (despite all the nay saying you will give us here). Or better and simpler yet. Just put a dollar in the bank so I have exactly a dollar to spend when I become too old to work. Is a stable currency too much to ask for from a government who wants to help everyone else on the planet except for the middle class?

*It should be noted that we got the horrible creation of the fed in 1913.

 

[RVonse]

But what is the (non-criminal) reason I should prefer to spend stable-coin?

Your question should not be whether you are the non-criminal, your question should be whether the government is going to be the criminal during a monetary reset. And the spoiler alert is that we already know how the US government treated its (then) gold owning citizens during the great depression. The people who owned gold back then took a haircut thanks to Roosevelt making them turn it in right before he revalued it. That is just one small example how your government is going to treat you when faced with its own problems.

The sophisticated intelligent people are simply buying bitcoin as not to expose themselves.

 

[Patooka]

The sophisticated intelligent people are simply buying bitcoin as not to expose themselves.

Wow. That's some Alex Jones bullshit right there.

 

[Jimmy Higgins]

Are you blaming "the fed"?

Yes. The fed prints (counterfeits) more dollars into circulation causing the existing dollars to be worth less (inflation).

Wrong. The Fed delivers paper money to (or more commonly, credits accounts of) its Member Banks in exchange for lawful U.S. money or for Treasury obligations purchased openly at the market price. Most U.S. "money" (as measured by M2) is created by private banks.

A nation can not be a world class producer without an honest currency that does not continually inflate itself away. Producers and business need this stability to know for certain what their real costs and overhead is.

Wrong again. The U.S. Fed has set a target inflation rate of 2.0% (on CPILFESL) and, with a few exceptions, has done a good job of adhering to that target rate. Businesses know this is the target rate and plan accordingly. Inflation did exceed 4% during 1967-1971, 1973-1983, 1989-1991, and 2021-2023. Fluctuations in price levels were much more severe than this during the Gold Standard era. I've attached an image to help you appreciate that. Annual deflation of 4% to 10% or more was common during the first half of the 19th century. Inflation was huge during the Civil War and during WWI -- and these periods were during the Gold Standard era! See from the graph that beginning in the mid-1980's we live in an era of relatively stable prices. (Again: PREDICTABLE low-level inflation, e.g. 2%, IS stable.)

By way of comparison, Japan's annual CPI inflation exceeded 20% throughout the mid 1970s while U.S. inflation barely exceeded 11% during this time.

By the way, Brent crude oil was $21 in 2001 and $139 in 2008. Other commodities have also shown sharp fluctuations. This leads us to ... Spoiler alert: prices fluctuate independent of any conspiracy of Hillary's deep state or Jewish bankers or wtf you or Alex Jones think controls prices.

Now 2% inflation is NOT the same as 0% inflation. A prudent saver might try to seek a 2% safe return rather than keeping his banknotes under his mattress. The advantages of 2% compared with 0% have been explained to you over and over and over and over and over and over. If you are STILL confused about this, ask us to suggest some search terms, or for help composing an AI chatbot query.

View attachment 52038

If you are wanting to be technical then inflation starts with the fed and gets implemented by the banks. And if this is your idea of 2% inflation I do not want any part of it:

The Purchasing Power of the Dollar -What is $100 worth in 1913 over time?​

1913: $100
1923: $57.89
1933: $76.15
1943: $57.23
1953: $37.08
1963: $32.35
1973: $22.30
1983: $9.94
1993: $6.85
2003: $5.38
2013: $4.25
2019: $3.87

And if I have a dollar today why do I even want to worry about earning more than 2% interest just to stay even? I would rather put it in the bank and have it be worth more tomorrow with deflation (despite all the nay saying you will give us here). Or better and simpler yet. Just put a dollar in the bank so I have exactly a dollar to spend when I become too old to work. Is a stable currency too much to ask for from a government who wants to help everyone else on the planet except for the middle class?

*It should be noted that we got the horrible creation of the fed in 1913.

The whole point is to spend the damn money. An economy is dead if money isn't moving. If someone has a $100 bill that they got in 1913 in their possession today... I'm sorry they decided not to spend it sometime in the last 112 years. Otherwise, your stats are a ridiculous red herring.

 

[RVonse]

The whole point is to spend the damn money. An economy is dead if money isn't moving. If someone has a $100 bill that they got in 1913 in their possession today... I'm sorry they decided not to spend it sometime in the last 112 years. Otherwise, your stats are a ridiculous red herring.

If the point is to spend the money there should be better ways to do that then to devalue our currency.

That does however beg another question why a country devoid of manufacturing even should want to spend money to improve the economy. Because the money spent goes to whoever produced the product.

And now days that ain't America.

 

[bilby]

The Purchasing Power of the Dollar -What is $100 worth in 1913 over time?​

1913: $100
1923: $57.89
1933: $76.15
1943: $57.23
1953: $37.08
1963: $32.35
1973: $22.30
1983: $9.94
1993: $6.85
2003: $5.38
2013: $4.25
2019: $3.87

And if I have a dollar today why do I even want to worry about earning more than 2% interest just to stay even? I would rather put it in the bank and have it be worth more tomorrow with deflation (despite all the nay saying you will give us here). Or better and simpler yet. Just put a dollar in the bank so I have exactly a dollar to spend when I become too old to work. Is a stable currency too much to ask for from a government who wants to help everyone else on the planet except for the middle class?

A stable currency is fine for a stable (aka "stagnant") economy, where nothing changes, nobody invents anything new, nobody wants a better life than their father, or grandfather, or great-grandfather.

The medieval period saw very low inflation, and very little change; There's a readin why describing a modern country, such as North Korea, as "medieval" is not a complement.

What kind of flat-screen TV could you buy with $100 in 1913? Or even with the $2,584 1913 dollars that $100 2019 dollars are worth?

Is keeping the value of the dollar at its 1913 rate worth living a 1913 lifestyle to you?