The guy mentioned in the previous post, who wanted me to admit to loving some forms of socialism, also has strange ideas about money. Ideas so odd that I'll just have to show you exactly what he claimed.
I've explained my understanding of money in the past.
When I said if something can't be provided voluntarily, without "taxation", it needs to go away, he countered with:
"You're effectively asking for an anarchy where everyone looks after themselves. No laws, no money. I say no money because it's something created by the state. Taxation is interesting, it's something that has to happen to give value to money. Without it you could use anything you can get people to agree on. But taxes make you need $s so the gvmt are in charge of money. There's a conversation to be had about the rate of tax though"
Yes. Anarchy, please. It's not what he claims, but that's for him to learn by experience. I'm surprised he didn't whip his Somalia out and wave it around.
Anyway, he believes money is "created by the state"? That money has no value unless it is given value through taxation? It sounds like he's describing fiat "money", not real money.
I told him that was cute and asked if he'd like to admit to any other superstitions.
"No doubt you think money comes from the people, or business. You got a printing press laying around?"
My response was: "That’s not money. It is a substitute for money that people accept. It’s a receipt for money that no longer has money backing it up. Just the promise that government will keep stealing to prop it up. The US dollar has lost nearly 100% of its value since it [sic] the Fed began the scam."
He concluded with "As Minsky said anyone can create money, the trouble is getting other people to accept it."
He's not wrong about that. I suppose the way government pulled off the scam was to start with real money, then take away the reality of it a little at a time until nothing is left, but people still accept it out of habit when they probably shouldn't. The same scam is likely to work for anyone with the resources to pull it off.
