The creation of "money" and who benefits! ( For those who would like to know!)

[Mudfart]

stephen hawking and his cronies cover modern day and historical economics in the book im reading atm.
they say economic principles are flawed to the point of the idea that perfect economics never being possible and that we will always be in the shit. kind of how the church rejected the ideas of the laws of nature and said "no, God is responsible for EVERYTHING", and imposed this law on everyone for 1500 years, the earthly law that stated the study of the laws of nature were herecy.
how can something only ever go up, and up and up? oh the yanks were soooo proud when the NASDAQ hit 10,000 points. it was played on ALL the TV news stations around the world.

[Pascal]

Core economic principles have an essential element. Money will always flow uphill.

Imagine you are a labourer working for Acme Corporation. You are employed to help build the Flargleblaster, the one device that everybody on the planet needs. To simplify this example, imagine that device provides everything you need. Food, clothing, housing, etc. Now, if everybody else in the world works on building these devices as well ... (Yes, division of labour, etc.) you have one simple end result.

The person working to build this device will innately become poorer in relation to the company that builds them.

You have to work to buy one. The company must make a profit to stay in business. Hence they must charge you more to buy that than you can earn from them.

Now sure, in the real world it is a bit more complex as there is no single Flargleblaster. But the multitude of products, services, etc. that are required have a simple, core principle. Those providing those must make profit out of delivering those products and services. The entire system revolves around an uphill flow of money.

[oldrider]

Core economic principles have an essential element. Money will always flow uphill.

Imagine you are a labourer working for Acme Corporation. You are employed to help build the Flargleblaster, the one device that everybody on the planet needs. To simplify this example, imagine that device provides everything you need. Food, clothing, housing, etc. Now, if everybody else in the world works on building these devices as well ... (Yes, division of labour, etc.) you have one simple end result.

The person working to build this device will innately become poorer in relation to the company that builds them.

You have to work to buy one. The company must make a profit to stay in business. Hence they must charge you more to buy that than you can earn from them.

Now sure, in the real world it is a bit more complex as there is no single Flargleblaster. But the multitude of products, services, etc. that are required have a simple, core principle. Those providing those must make profit out of delivering those products and services. The entire system revolves around an uphill flow of money.

True!

The gap between the cost of production (of goods and services, gross national product) and the purchasing power of the producers (gross national income)
is the value of the new credit produced by the banks but they charge interest to do it!

The new money can never cover that gap because the interest charged erodes the value and the gap gradually increases until the situation we have today occurs as a direct result!

Strange that we can build huge works, develop extraordinary technology, send men to the moon, etc etc but we can't produce a balanced monetary system without the need for wars, booms and busts!

The credit that is required to "balance" the gap between production and consumption is the "social credit" of every nation!

Why then are we continuing to worship and support these perpetrators of the "failed" and proven "failed" "SOCIAL DEBT" monetary system?

Most curious of all, why do "we" allow the minority who "benefit" from it, to continue to do so????

Totally at "our" expense!

[dipshit]

We need to make more gold.

[scissorhands]

Core economic principles have an essential element. Money will always flow uphill.

Imagine you are a labourer working for Acme Corporation. You are employed to help build the Flargleblaster, the one device that everybody on the planet needs. To simplify this example, imagine that device provides everything you need. Food, clothing, housing, etc. Now, if everybody else in the world works on building these devices as well ... (Yes, division of labour, etc.) you have one simple end result.

The person working to build this device will innately become poorer in relation to the company that builds them.

You have to work to buy one. The company must make a profit to stay in business. Hence they must charge you more to buy that than you can earn from them.

Now sure, in the real world it is a bit more complex as there is no single Flargleblaster. But the multitude of products, services, etc. that are required have a simple, core principle. Those providing those must make profit out of delivering those products and services. The entire system revolves around an uphill flow of money.

Unless you never buy retail Flargleblasters, are self employed, fix the old Flargleblaster yourself for free, buy broken flargleblasters and become like a pseudo flargleblaster manufacturer yourself!

For you, owning and keeping flargleblasters consumes no work hours, but a hobby or pastime, and is a nourishing experience. You start to recognise faces at pick - a - part

No youse aint nobodies bitch, and then you see your desire for flargleblasters as shallow and implanted in your brain, and not even authentic to you.

And then your friends who own similar flargleblasters as you, have the same haircut and listen to the same music, start to worry when you prefer to sleep out in the garden, where you can see the moon

[Brian d marge]

True!

The gap between the cost of production (of goods and services, gross national product) and the purchasing power of the producers (gross national income)
is the value of the new credit produced by the banks but they charge interest to do it!

The new money can never cover that gap because the interest charged erodes the value and the gap gradually increases until the situation we have today occurs as a direct result!

Strange that we can build huge works, develop extraordinary technology, send men to the moon, etc etc but we can't produce a balanced monetary system without the need for wars, booms and busts!

The credit that is required to "balance" the gap between production and consumption is the "social credit" of every nation!

Why then are we continuing to worship and support these perpetrators of the "failed" and proven "failed" "SOCIAL DEBT" monetary system?

Most curious of all, why do "we" allow the minority who "benefit" from it, to continue to do so????

Totally at "our" expense!

Completely agree
but there not a lot we can do about it except the gandi principle , ( Which while extreme , is watered down in my other post , ie.... just don't use the banks.... as much as possible ,
No this doesn't mean keeping savings under the bed , or in a cardboard box. Sure use banks to house said money , but there are there ways to save , a friend of mine buys 100 dollars a month of gold , just rings up bank and says transfer 100 into gold
Borrowing money ? borrow from family first,
Education ? why do we borrow money for this? reduce this amount as much as possible ... Does Johnny REALLY need a uni degree?? or just be damn good at a readin a rightin and arithmatic
In fact as I type this the more green economies I can think of a lot of them working very well and benefiting the local economy
Me
I buy local a much as possible ( the farmer road side stall or friends swap what we grow )
I borrowed off family and built on family land ( paid for years ago)
I don't have any big ticket purchases ( Enfield?? and an old CR)
any stuff I buy is paid for in cash

and I vote against Imf /american.wall street economics in any shape or form ( ie the new right )

I still have to pick cotton for master , but only a little ,,,,,

Stephen

Added this little drawing I did , ,,and in "I" we trust ,,,,,,,,,,( and will be our downfall)

[oldrider]

Here is video clip from America, the land of plenty and the free!

http://www.youtube.com/watch?v=CnnOO...layer_embedded

And here is a second video taken at a later date again and this is America, not India preparing for the Commonwealth games!

http://www.youtube.com/watch?v=LrPdZ...layer_embedded

Here is another video clip that illustrates the corresponding decay in Government behaviour, when faced with situations that they (the politicians) have no idea how to control!

http://www.youtube.com/watch?feature...&v=AzPe515C1gI

So where, in the face of all this world disarray, is little old NZ heading?

Do you really think our politicians can handle it and will they have "our" best interests at heart as they face it?

Is blind faith in our "left" - "right" political loyalties going to be of any use when they all cling to current economical strategies of the money barons outlined above in this thread?

I think not!

But all is not lost, we still have time to think!

But how will we (NZ) use our thinking time?

As always probably just the way the media directs us to!

[mashman]

So where, in the face of all this world disarray, is little old NZ heading?

In exactly the same direction as every other country on the planet. User pays. Tough shit if you don't have the "means" to look after yourself, go get one of them imaginary jobs the Govt keep talking about...

Do you really think our politicians can handle it and will they have "our" best interests at heart as they face it?

No. They have failed impressively across Millenia. Not just a few days, a political term, 10 years, 100 years, but MILLENIA to get to this point in human history. You gotta wonder WTF they're doing to get it all so wrong?

Is blind faith in our "left" - "right" political loyalties going to be of any use when they all cling to current economical strategies of the money barons outlined above in this thread?

I think not!

Agreed. But it's business, not personal

But all is not lost, we still have time to think!

But how will we (NZ) use our thinking time?

It's none of our business! Thinking should be left to the professionals. Who else knows us so well and is better qualified to represent "us" than those who have looked after us for Millenia... even though historically they've shafted anyone and everyone they can in search of more money and more power, best leave it to them


But then again, WTF would I know, I'm not a politician, a financeer or a lawyer... On the plus side, they are continuing the tradition of upstairs and downstairs very well...

[oldrider]

True but if only our peers would take a little time out to think for themselves, instead of waiting for the "revolution"!

Then wondering when the dust settles ...... "What Kung Foo dat"!

[mashman]

because it always ends with depressive thoughts of loneliness and despair with a topping of unadulterated ire at pretty much any strategy the government employees. TPTB knows bestest and are still trusted it seems.

To borrow a phrase "all those moments will be lost in time like tears in rain.".