Money as Debt
 

Re: Money as Debt
 

Hey, can you edit this thread and put the title of the video next to each video link? I think it would help beginners when viewing this thread.

Re: Money as Debt
 

This video is not done by a libertarian and it's filled with errors. The truth is mixed in there in heavy doses, which makes it all the more dangerous. I've tried to get mises.org to review the video (unsuccessfully to date) because I think it is confusing a lot of people. I wish people would quit posting it.

Money in a free market is NOT debt. It only exists as debt in our society because of the inflationary federal reserve, which depends on pumping ever greater amounts of dollars to prop up an inherently unstable ponzi scheme. The bankers may end up in as sorry shape as everyone else, despite their machinations, if there is a hyperinflation.

The solution isn't the idiocy this video recommends, but instead to have a real free market in money. Interest would be taken care of in a free market by higher productivity. I loan you $10, you pay back the interest by producing something that is worth more than $10. The bankers would not end up owning everything. Loans (and thus interest) could only grow if there were the savings to back them up. Corrections and liquidations would be far less painful.

More comments on the video here:
http://mises.org/Community/forums/t/4230.aspx

Re: Money as Debt
 

FYI a "Note" is a promise to pay. FRN's are our 'money'...

i.e., DEBT....

Blacks 4th ed. NOTE: A unilateral instrument containing an express and absolute promise of signer to pay a specified person or order, or bearer, a definite sum of money at a specified time.

...whereas a Certificate of Deposit, i.e., real evidence of wealth - what our 'money' used to be:

A written acknowledgment by a bank or banker of a deposit with promise to pay the depositor, to his order, or to some other person or to his order....

Two entirely different concepts in law.