Doug wrote: "They've kept the thing going for centuries"

this is a strawman. I'm not talking about all the oligarchs throughout
the history of capitalism. I'm talking about the ones we have or have
had for the last 30-40 years. The original investors in the Bank of
England knew damn well how money and credit worked- they bought their
shares with Tally Sticks! The british government only phased out
tallysticks in the early 19th century. As capitalism has developed
there has been more and more mysticism around economics and money. You
can already see this in the early 19th century with the arguments
between the bullionists and anti-bullionists (roughly Ricardo and
company versus Thornton and Tooke). the anti-bullionists actually won
the battle but the bullionists won the war. Sure individual central
bankers or bankers understand how money works to a greater or lesser
extent but the knowledge has been progressively wiped from the general
population- including many elites (I'm actually organizing a talk for
early october on monetary policy that includes the head of financial
markets at the Bank of Canada. my professors credit her with designing
Canada's version of the corridor system for all you monetary policy
wonks). Even 60 to 80 years ago understanding of how money works was
much more widespread.

note that I'm not claiming capitalism wouldn't have problems if the
oligarchy understood how money works. far from it actually. what I'm
saying as an empirical matter i see very little evidence of widespread
understanding of the monetary system among elites. It should be
obvious to Marxists that this isn't required for a system to function
or for it to be rigged in their interest.




-- 
-Nathan Tankus
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