If a bank customer writes checks for cash, how can the cash be tracked?
On Aug 20, 9:17 am, Allan H <[email protected]> wrote: > Strange I was reading what you wrote Paradox and the thought developed in > an economic subculture ,, were friends grooups of people would work for the > betterment of all a simple example might be if I could buy a product > cheaper and then send it to those that wanted the product... setting aside > the funds so when there was a product that some one else needed.. > > With todays computers it would not be difficult to see who held or owed what > debt. > > this not thought out just an rough idea. > Allan > On Aug 20, 2011 12:27 PM, "paradox" <[email protected]> wrote: > > > > > I hear you Allan; but this particular current fibrillation is more > > systemic. The perceptual issues arise because we are applying steady- > > state macroeconomic frames to system-wide transition states, and the > > makets just dont get it. So, there's a communications issue right > > there. > > > The specific challenges for "developed" economies is growth and debt. > > The inverse pressure is particularly intense bcause of the size of > > third party debt obligations (hence the dysfunctional hyper- > > sensitivity to ratings outlooks); as with business cycles, one would > > normally assume greater debt to fund growth to pay down debt; in this > > particular environment, greater debt leads to debt quality uncertainty > > which drives up cost of borrowing, which constrains the growth you > > leveraged for in the first place. > > > The solution, to me, requires will, commitment, frame breaking, and a > > good deal of creative thinking. FIrst we need to suspend the inflation > > "rule" for a transition window. Then Central Banks need to hold more > > short term sovereign liabilities to provide "breathing space". Then > > Treasuries need to take a scalpel to taxes, particularly but not > > limited to transaction based taxes such as VAT, to spur economic > > activity aggressively. Then to create sovereign long term retail > > income bonds to fund fiscal shortfalls. > > > Just to be sure, we're here taking about the difference between growth > > rates of 1-2% (current) and 4-5% (target). We're not taking about an > > economic calamity, though you would not know it with the markets and > > media dancing to their own music. It's very useful to bear that in > > mind always. > > > On Aug 19, 3:31 pm, Allan H <[email protected]> wrote: > >> My guess is people let them.. they take the word of and ?authority? and > call > >> it good. there is no challangee to the those that are creating the > problem > >> in the first place.. aka bankers, stockmaarkets, corporations,, greedy > >> individuals > >> Allan > >> On Aug 19, 2011 1:12 PM, "paradox" <[email protected]> wrote: > > >> > Recently, i read of an "authority" on institutional debt proclaim that > >> > a global recession was now inevitable. My first thought was that this > >> > was something of a curious "God like" statement, which was actually > >> > plain and simply wrong. There is actually next to no risk of a global > >> > recession. > > >> > How do they get away with stuff like this, i wonder?- Hide quoted text > - > > >> - Show quoted text -- Hide quoted text - > > - Show quoted text -
