Comments by "Aden Wellsmith" (@adenwellsmith6908) on "The government can never run out of money" video.

  1.  @terryboland3816  Richard is sadly, ignorant of accounting and economics. On the accounting its related to how pensions are booked into accounts and IFRS standards. Hence no discussion on the socialist pension debts. On economics, its the equation of exchange that he won't discuss.
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  2.  @terryboland3816  I know. I was backing you up. The bit that Richard leaves off [Like the pension debts], is the equation of exchange. That's the connection between resources and money.
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  3. You clearly don't. Create a new currency, the voucher. Pay public sector workers with vouchers. Heck quadruple their wages, in vouchers. You can never run out of vouchers. Of course when they spend the printed vouchers, or try to, you get the problme.
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  4.  @charliemoore2551  Because it can print Vouchers to pay civill servants. Remember it can never run out of vouchers.
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  5.  @blackbulldog4897  And? The government can run out of purchasing power. You cannot magically create resources out of thin air.
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  6.  @tobymaltby6036  But Richard is saying you can print money and get real resources. That's baloney.
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  7. So craete a new currency, the voucher. Pay civil servants in vouchers.' No need for tax. Of course, when they go an spend the vouchers, they might discover the problem.
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  8. Richard. Create your own currency. Give it a name. The Murphy. You can print as many Murphies as you want. With those printed Murphies you can solve all the problems in the UK by giving the Murphies away. But of course, money and resources (goods and services) aren't the same thing
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  9.  @terryboland3816  You're welcome. The general thing going on is more interesting. Things are dire. Why are they dire? Well its an accounting fraud. 16 trillion pounds of pension debts hidden off the books. Very interesting that an accounting proff doesn't want to talk about that. So people are like any drowning man, clutching at straws. They have been conned out of their wealth, and when you have someone saying we have a cure. Just take this potion, and it will be ok. Economic snake oil on sale now.
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  10.  @WarrenPeaceOG  I know. Read up on MMT, and how taxation gives fiat currency value. [Hence the printing Murphys won't work]. Second look up the equation of exchange. That explains how printing money causes inflation. Printing money doesn't create real resources such as goods or services. The secondary effects of printing destroy resources and services.
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  11. So why doesn't richard talk about the 16,000 bn pension debts that are hidden off the books.
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  12.  @iwantagoodnameplease  No it doesn't. Why doesn't Richard create his own currency, print trillions, convert that to resources?
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  13.  @WarrenPeaceOG  No. Purely the connection between money and the value of goods and services. The relationship is the equation of exchange. If you double the money supply, you double prices, given other things being equal
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  14.  @charliemoore2551  And what relevance does that have to the point? The state can have two currenies. The pound for normal poeple and MPs They get paid in pounds. The Voucher for public sector workers. They get paid in vouchers. Remember, you can never run out of vouchers. Think about it. How do those workers turn vouchers into resources? Goods and services? But you can certainly never run out of vouchers. That explains why RM is wrong. He's conflating money and resources.
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  15.  @blackbulldog4897  No. I'm spot on. So the government can never run out of purchasing power. Lets do the thought experiment on that. The government says, for a £1 payment today, we will deliver you 1 Ferarri, new, a day [or equivalent spend], for the rest of your life. Everyone in the UK takes them up on that. Would be mad not to. Now that promise to pay, is for real resources. ie. For purchasing power. You are saying the government can deliver. Now those Ferarris, or equivalent goods to the value of that Ferarri, for 70 million people exceeds the economy of the UK. They have promised more than the total economic output. I've deliberately made it extreme to show that your assertion of delivering resources, because that's what you mean by purchasing power, is limited to the size of the UK state. It's actually lower, but extreme cases show you are wrong.
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  16.  @julianclover1663  No we didn't. We have inflation exactly as predicted.
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  17.  @Vroomfondle1066  Causation means correlation. Now repeat that.
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  18.  @bearsbreeches  They don't use your savings to make loans that's a fallacy === They do. Clearly you do not understand fractional reserve banking and banking capital.
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  19. The equation of exchange is a fundamental concept in economics that describes the relationship between the money supply, its velocity, the price level, and the volume of transactions or output in an economy. It is typically expressed as: 𝑀 𝑉 = 𝑃 𝑄 Where: M = Money supply (the total amount of money in circulation) V = Velocity of money (the average frequency with which a unit of money is spent in a given period) P = Price level (average price of goods and services) Q = Quantity of goods and services produced or the real output (also referred to as real GDP) Explanation: MV represents the total spending in an economy, which is the total amount of money circulating multiplied by how often it is spent. PQ represents the nominal value of all goods and services produced (nominal GDP), which is the price level multiplied by the quantity of goods and services. Implications: If the velocity of money (V) and real output (Q) are constant, then any increase in the money supply (M) will lead to a proportional increase in the price level (P), potentially causing inflation. It is used in monetary theories like the Quantity Theory of Money, which suggests that changes in the money supply have a direct and proportional effect on the price level.
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  20.  @bearsbreeches  Economic activity in the economy,
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  21.  @bearsbreeches  In the context of the equation of exchange it most certainly does. In government measurement, no. If you don't measure it why would you say it doesn't exist? It most clearly does.
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  22. Everything you want is a real resource. That cannot be printed out of thin air.
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  23. The con continues. The failure to connect money and purchasing power. Deluded.
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  24.  @gio-oz8gf  And? They printed money, got inflation. Same as Mugabe.
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  25.  @CuriousCrow-mp4cx  Printing. Same as Zimbabwe.
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  26.  @clementattlee6984  If there was no printing there would have been no hyperinflation.
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  27.  @zetectic7968  All you can say, is you don't like it. Weimar Republic printed lots of money. Weimar ended up with massive inflation. That's factual. Even you can't argue against the two facts. So its it random chance? Now clearly correlation isn't causation. To show it you need to add on a dose related response. Did more printing result in more inflation? The answer is yes. It's causal. Remember, if you A causes B, then A will be correlated with B. The flip side of the correletion doesn't imply causation. It does when you add in that dose related test. So do we have other examples? Of course we do. QE was followed by inflation. Notice which way round? QE came first, then inflation. Causation again. Zimbabwe printed because it destroyed its tax base. Argentina printed. That's another interesting event. El Loco has come along, stopped that. Deficits to Surplus. Economy growing. 18 ministries down to 8. Inflation is now coming down.
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  28. How much debt does the state have?
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  29. 16,000 bn pounds of socialist pension debt. How does that change society.
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  30. The state can't afford a real income for pensioners. How does it afford it for 70 million?
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  31.  @Tensquaremetreworkshop  There are two functions. 1. Means of exchange. Rather than barter potatoes for meat, you exchange potatoes for money, meat for money. 2. A store of value over time. That enables borrowing and saving. They are the functions. The fundamental value of a bank note is close to zero. To give value to fiat money, you need taxation to create the demand and hence the value. MMT is clear on this. That's why the equation of exchange kicks in. RM ignores it, becuase it debunks his ideas. Same as the pension debts.
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  32.  @Tensquaremetreworkshop  No. The first is the means of exchange. That includes the small part of price which is that measure of value. Unit of account relates to money as a store of value. Hence the borrow/save part Both are covered. So how does printing money create value out of thin air? Why not abolish taxation and just print?
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  33.  @Tensquaremetreworkshop  Bitcoin is fiat money, and government isn't involved. Debunking your assumption.
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  34.  @charliemoore2551  Spot on Charlie. They, the left, are very confused about the token and the resource.
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  35.  @zetectic7968  Wrong. The question is can you print value? The answer is no. Are the pension debts real or are they imaginary because they aren't reported? Why would the state hide the pension debts off the books? Very simple questions. What's interesting is that the left, and RM can't answer them. For an accountant not to be able to spot the accounts have been cooked is telling. Also a concern when he's teaching accountancy. Enron, Bernie Maddoff school of accounting. They hide the liabilities as well.
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  36.  @clementattlee6984  So why did they print the notes?
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  37.  @WarrenPeaceOG  Warren. It is. It very difficult for socialists.
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