Printing Money: The Absolute Privilege of U.S. Dollars
imgracehuang.medium.com
Printing Money: The Absolute Privilege of U.S. Dollars
1–10 of 54 posts
Re: Printing Money: The Absolute Privilege of U.S. Dollars
#2"It is unavoidable that one day in the far far future, the U.S. loses reserved currency status. "
There are some opposing opinions on this being far far away. Recently the USD has lost a significant amount in global percentage mainly due to all the sanction the US imposes. The US treasury itself warned that these sanctions are bad for thr US. [1]
[1] https://www.livemint.com/news/world/yellen-says-sanctions-ma...
Re: Printing Money: The Absolute Privilege of U.S. Dollars
#3Re: Printing Money: The Absolute Privilege of U.S. Dollars
#4"It is unavoidable that one day in the far far future, the U.S. loses reserved currency status. " There are some opposing opinions on this being far far away. Recently the USD has lost a significant amount in global percentage mainly due to all the sanction the US imposes. The US treasury itself warned that these sanctions are bad for thr US. [1] [1] https://www.livemint.com/news/world/yellen-says-sanctions-ma...
Also by the time US loses its privileged position it will already be too late to reinvest elsewhere without losses. So many funds are already moving money to China and elsewhere. Having said that China etc have their own economic and demographic problems so nowhere seems safe at the moment.
Re: Printing Money: The Absolute Privilege of U.S. Dollars
#5This article seems to be extremely confused about the difference between increasing the supply of dollars (printing money or other tactics of the Federal Reserve) and deficit spending (moving already-created dollars from the public, including foreign holders, to the government and then right out to the U.S. public again).
Re: Printing Money: The Absolute Privilege of U.S. Dollars
#6"It is unavoidable that one day in the far far future, the U.S. loses reserved currency status. " There are some opposing opinions on this being far far away. Recently the USD has lost a significant amount in global percentage mainly due to all the sanction the US imposes. The US treasury itself warned that these sanctions are bad for thr US. [1] [1] https://www.livemint.com/news/world/yellen-says-sanctions-ma...
Also by the time US loses its privileged position it will already be too late to reinvest elsewhere without losses. So many funds are already moving money to China and elsewhere. Having said that China etc have their own economic and demographic problems so nowhere seems safe at the moment.
Investing in China seems terribly risky to me.
China's been telegraphing it will attack Taiwan pretty soon. When that happens, good luck not having your investments either destroyed or nationalized.
Re: Printing Money: The Absolute Privilege of U.S. Dollars
#7I’ve been thinking about an “equity only” currency where charging interest and debt are outlawed.
If you need to raise money for a project, to buy a property, or to finance a business, you must sell a portion of your venture/asset to raise the necessary capital.
The idea is to outlaw debt and money creating more money via interest.
I don’t see why this system can’t be as efficient as a debt and interest based financial system.
It would require getting rid of agencies like the SEC and replacing these regulatory bodies with a very efficient stock system, like ICOs.
Lending money to a business is essentially the same as investing in it anyway. If the business defaults the result is the same.
This would eliminate the parasitic effect of excessive interest from the economy. It would need to be combined with a basic social safety net set low enough to encourage people to remain productive.
An interesting thought experiment, what if people ICO’d their future earnings, selling themselves into indentured servitude to repay the hard currency they borrowed?
That’s what people are doing when they borrow money today. It’s also what happens when nations go deeper into debt to central banks!
Re: Printing Money: The Absolute Privilege of U.S. Dollars
#8Earlier quoted context omitted.
Also by the time US loses its privileged position it will already be too late to reinvest elsewhere without losses. So many funds are already moving money to China and elsewhere. Having said that China etc have their own economic and demographic problems so nowhere seems safe at the moment.
Investing in China seems terribly risky to me. China's been telegraphing it will attack Taiwan pretty soon. When that happens, good luck not having your investments either destroyed or nationalized.
I think war or no war those possibilities are a major risk with China given their form of government.
Re: Printing Money: The Absolute Privilege of U.S. Dollars
#9I’ve been thinking about an “equity only” currency where charging interest and debt are outlawed. If you need to raise money for a project, to buy a property, or to finance a business, you must sell a portion of your venture/asset to raise the necessary capital. The idea is to outlaw debt and money creating more money via interest. I don’t see why this system can’t be as efficient as a debt and interest based financi…
>Lending money to a business is essentially the same as investing in it anyway. If the business defaults the result is the same.
It is far more common for a business when times are hard to stop (or never start) paying out to its equity investors (dividends) while still servicing its debt. It is not "essentially the same as investing".
Re: Printing Money: The Absolute Privilege of U.S. Dollars
#10This article seems to be extremely confused about the difference between increasing the supply of dollars (printing money or other tactics of the Federal Reserve) and deficit spending (moving already-created dollars from the public, including foreign holders, to the government and then right out to the U.S. public again).
I'm confused as to how that's different. Essentially the US can deficit spend an extraordinary amount, even if that deficit is financed, bc the US can simply print money to pay back the debt - without most of the drawbacks that normally come when you money is created out of nothing, BC the US dollar is the Global reserve currency.