Real Money and Fake Money

Posted by jsw225 10 years, 6 months ago to Economics
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Hi guys! I linked my blog over on another thread concerning Objectivist Essays, which is basically what my blog does. I was asked to make a thread about it the next time I wrote something.

This essay concerns real money and fake money, and the damage done in a FIAT system. It may be basic, but I enjoy focusing my thoughts from head onto paper.

The main link to my blog is in the Title URL, and here's the individual link for this essay: http://dannesrepossessions.wordpress.com... .

All Comments

  • Posted by CircuitGuy 10 years, 6 months ago in reply to this comment.
    US has had positive growth in real (i.e. inflation-adjusted) GDP for many quarters.

    I do not associate it with any gov't policies. It's all people going out and finding ways to solve other people's problems and provide services to them.
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  • Posted by jsw225 10 years, 6 months ago in reply to this comment.
    Expansion? Your silliness makes me chuckle. If you take the government's claim of 2% inflation, the growth in GDP is less than the GDP's devaluation due to inflation.
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  • Posted by CircuitGuy 10 years, 6 months ago in reply to this comment.
    Prices of businesses lead earnings. The market's expectation of future earnings get priced in. We just went through a recession, and now we're in expansion. That's priced into the market. I don't know how long the expansion will continue, but market participants believe it will continue.
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  • Posted by jsw225 10 years, 6 months ago in reply to this comment.
    One of the issues is, "Where is the fake money going?" It's not an easy question, but the biggest destination of the phoney money right now is the stock market. It is no coincidence that the printing press is running 24/7, and the ONLY thing that is booming is the NYSE. Savings are down, income is down, but the stock exchange is up?
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