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Seigniorage


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It's not much different than what Ron Paul suggested, eliminating the debt held by the FED. Here's a good discussion of the issues.

Modern Monetary Theory

 

The underlying argument relates to something I've always said: as long as there are excess labor and capital resources, you can create more claims (money) on those resources without iginiting inflation.

 

If there is high unemployment and low capital utilization, then government can/should dificit spend to push the economy toward full employment. This idea is what economist Abba Lerner called funtional finance. The real problem, and the reason that the FED can't directly finance the Treasury, is that politicians have to be constrained. The power of the printing press is easily abused...

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That would suck. I have one of those 5 trillion dollar coins and it would become only half as rare. It is beginning to make sense though. I think it will happen. The other day I got a call from some I'll call code name Gim Teitner and he asked me if it was ok to use my profile on a coin he was thinking of making. I said no but suggested they use Beerboy's face. Code name Gim lol'ed and decided on using an animal for the first time ever on the front of a coin.

 

CONGRATULATIONS SAMMY!!!!!!!!!!!!!!!

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