Thursday, April 13, 2017
BBC TRUMPBACKS
Trump: China not a currency manipulator.
'Dollar too strong because Americans have confidence in me.'
Your currency, and your wealth, now, is literally defined in terms of Presidential confidence or lack thereof.
How is that better than a gold standard? Gold, after all, is just gold. You don't have confidence or lack of confidence in it. Of course you have to test it, measure it, or know it, physically, but at least it is not a personality trait, or a function of printing press activity.
Fractional reserve banking was an evil of banking under a gold standard. It wasn't the gold that was evil.
When you had bank failures, under a gold standard, it wasn't gold that failed. Fractional reserve banking practices failed. Gold was what it was.
When you have bank failures now, or currency devaluations, or currency strengthenings, what has failed, devalued, or strengthened?
If banks failed, why? If currency devalued or strengthened, by how much, why, how would you ever know?
Fractional reserve banking was an evil of banking under a gold standard. It wasn't the gold that was evil.
When you had bank failures, under a gold standard, it wasn't gold that failed. Fractional reserve banking practices failed. Gold was what it was.
When you have bank failures now, or currency devaluations, or currency strengthenings, what has failed, devalued, or strengthened?
If banks failed, why? If currency devalued or strengthened, by how much, why, how would you ever know?
How does it feel to have your wealth in something I will call Trumpbacks! Others call them dollars, or greenbacks, but these even are misnomers now.
What are they backed by? Trump! nothing more. They are actually a federal debt you could never collect. Trump is borrowing wealth from you, not you from him.
How much are they worth? Some fractional share of Trump.
To say that Trumpbacks trump other currencies is to engage in a species of bluff. Central banking as a card game.
I say put his face on the dollar bill during his presidency!
This post dedicated to James Grant.
What are they backed by? Trump! nothing more. They are actually a federal debt you could never collect. Trump is borrowing wealth from you, not you from him.
How much are they worth? Some fractional share of Trump.
To say that Trumpbacks trump other currencies is to engage in a species of bluff. Central banking as a card game.
I say put his face on the dollar bill during his presidency!
This post dedicated to James Grant.
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