bcarso

Re: Money is WHAT?
« Reply #40 on: February 09, 2009, 12:44:24 PM »

I also agree with your thoughts on the dot com pop earlier this decade. We should have experienced a severe recession after the dot com bubble burst, but the money injected into the "system" to stave off recession was mal-invested (to use a Mises word) into all things housing. In my spare time, I like to read Austrian economic books and I'm sure you can sense some of that by what I say.

It's nice to see Ludwig von Mises mentioned here.

During a period of hyperinflation---was it in Austria in fact?---von Mises was asked by the government to give them advice on how to deal with the situation.  He reluctantly agreed, but said he would meet with them to discuss at his specified time and place.  IIRC this was 3AM on a certain streetcorner.

The meeting occurred on schedule, but it was difficult for them to talk because of very loud noises coming from the nearest building.  The government officials were yelling, asking him to give them his advice, and complaining that they couldn't hear him.

Von Mises said, shouting to be heard: "First, you must silence this"---and gestured towards the building.  It was of course full of running printing presses, printing currency as fast as possible.


sahib

Re: Money is WHAT?
« Reply #41 on: February 09, 2009, 01:21:45 PM »


Sahib : For example in Turkey state prints the money
When Turkey will be in EC your government will not be allowed to print money anymore !
 
Guy


Yeap. But I think we have more chance of seeing Comet Healey in our life time than seeing that.

CJ

Re: Money is WHAT?
« Reply #42 on: February 09, 2009, 09:52:36 PM »
too much Positive Feedback in a amplifier and you have an unstable circuit.

now we are trying to get out of a negative feedback situation.
we have a damped sinusoidal.
hopefully the money will un-damp the wave and it will gradually grow back into an oscillator in time for  our Grandkids to deal with.

see, it's best to avoid amps with feedback, too much social distortion.
If I can't fix it, I can fix it so nobody else can!
Frank's Tube Page: www.mif.pg.gda.pl/homepages/frank/vs.html
Guitar Amps: http://bmamps.com/Tech_sch.html

JohnRoberts

Re: Money is WHAT?
« Reply #43 on: February 09, 2009, 10:51:36 PM »
More like too much delay in the negative feedback path causing phase shift which makes negative feedback positive again. When economists try to manipulate the economy too forcefully they always overshoot.

Politicians always need to appear like they're doing something.. they and the public aren't patient enough to wait for the effects of the huge increase to M2 (money supply) since last Aug or so, on top of $350B pumped into the banking system, and everything else that has been done so far, to finish working...

Several economic markers are signaling improvement, but unless we paint a picture of impending doom and gloom, that $.8T spending bill might be delayed. I won't repeat some of the lamer things said today.

Urgency when trying to turn an ocean liner is not prudent. But who knows.. looks like that spending bill isn't really just about stimulus anyhow.

It looks like a done deal so lets have fun looking at what they spent on.. It is supposed to be well documented.

DTV coupons anyone? I thought that was already history?

JR





Visit https://circularscience.com to hear what properly "cleared" drums sound like.


 

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