Money is debt.

[Dovahkiin]

Money is debt.

I'm holding a $20 FRN. Do I owe interest on it, or does someone owe interest to me?

The $20 FRN is a liability for the government sector. Of course, the government sector doesn't need to worry about it, as the issuer of currency.

 

[Dovahkiin]

Explain what you think is wrong. Point it out.

I did. I said money is an exchange. In debt you get something for nothing in the hope you pay it back.

How do you think new money is created? What exactly do YOU mean by saying money is an exchange?

Money has value. You don't create value by printing it. You can devalue it since value doesn't go up with more money floating around.

If money is debt, come on over and mow my lawn. I'll consider the debt payment in full.

You didn't answer my question... Do you know where new money comes from?

Do you know what happens to that money when the debt is paid back?

It is destroyed.

Of course. This is why we need the government sector to run a net deficit.

 

[Slade3200]

I did. I said money is an exchange. In debt you get something for nothing in the hope you pay it back.

How do you think new money is created? What exactly do YOU mean by saying money is an exchange?

Money has value. You don't create value by printing it. You can devalue it since value doesn't go up with more money floating around.

If money is debt, come on over and mow my lawn. I'll consider the debt payment in full.

You didn't answer my question... Do you know where new money comes from?

Do you know what happens to that money when the debt is paid back?

It is destroyed.

Of course. This is why we need the government sector to run a net deficit.

Correct... This is a concept that the simpletons that keep arguing with you seem unable to understand. They still think we are in the gold standard and have racked up a 19T credit card bill. An honest discussion and better education about our current economic situation needs to be had.

 

[Iceweasel]

How do you think new money is created? What exactly do YOU mean by saying money is an exchange?

Money has value. You don't create value by printing it. You can devalue it since value doesn't go up with more money floating around.

If money is debt, come on over and mow my lawn. I'll consider the debt payment in full.

You didn't answer my question... Do you know where new money comes from?

Do you know what happens to that money when the debt is paid back?

It is destroyed.

Of course. This is why we need the government sector to run a net deficit.

Correct... This is a concept that the simpletons that keep arguing with you seem unable to understand. They still think we are in the gold standard and have racked up a 19T credit card bill. An honest discussion and better education about our current economic situation needs to be had.

You can't have an honest discussion with anybody that posits money is debt. I didn't pay my house off with more debt. Nobody was willing to mow my lawn and consider us even with me owing a debt. The premise of the argument is seriously flawed, you can't build on a foundation that has no merit.

What the hell was the point in the exercise in the first place?

 

[Centinel]

Do you know what happens to that money when the debt is paid back?

It is destroyed.

Under the OP's theory, yes. But the OP's theory is bogus.

In actuality, money is created for lending. That much is true. But that is a lie of omission which leaves out the fact that same money is destroyed as the debt is paid back.

If there was no debt, people would be really struggling to acquire enough cash to start a business.

Not all lending creates more money or is based on debt. This is just the nature of fractional reserve banking and government fiat.

Precisely. But most lending does temporarily create money from thin air.

Actually, it only creates claims to money. It doesn't create actual federal reserve notes.

 

[Norman]

Money has value. You don't create value by printing it. You can devalue it since value doesn't go up with more money floating around.

If money is debt, come on over and mow my lawn. I'll consider the debt payment in full.

You didn't answer my question... Do you know where new money comes from?

Do you know what happens to that money when the debt is paid back?

It is destroyed.

Of course. This is why we need the government sector to run a net deficit.

Correct... This is a concept that the simpletons that keep arguing with you seem unable to understand. They still think we are in the gold standard and have racked up a 19T credit card bill. An honest discussion and better education about our current economic situation needs to be had.

You can't have an honest discussion with anybody that posits money is debt. I didn't pay my house off with more debt. Nobody was willing to mow my lawn and consider us even with me owing a debt. The premise of the argument is seriously flawed, you can't build on a foundation that has no merit.

What the hell was the point in the exercise in the first place?

It's debt (or more accurately liability) to FED and banks, not yourself. To you it's an asset. The corresponding assets at FED are government debt.

I kind of agree that some people spin this way out of context though. That is just the way lying liberal regressives are... So it would be perhaps better to stop calling it debt.

 

[Iceweasel]

You didn't answer my question... Do you know where new money comes from?

Do you know what happens to that money when the debt is paid back?

It is destroyed.

Of course. This is why we need the government sector to run a net deficit.

Correct... This is a concept that the simpletons that keep arguing with you seem unable to understand. They still think we are in the gold standard and have racked up a 19T credit card bill. An honest discussion and better education about our current economic situation needs to be had.

You can't have an honest discussion with anybody that posits money is debt. I didn't pay my house off with more debt. Nobody was willing to mow my lawn and consider us even with me owing a debt. The premise of the argument is seriously flawed, you can't build on a foundation that has no merit.

What the hell was the point in the exercise in the first place?

It's debt (or more accurately liability) to FED and banks, not yourself. To you it's an asset. The corresponding assets at FED are government debt.

I kind of agree that some people spin this way out of context though. That is just the way lying liberal regressives are... So it would be perhaps better to stop calling it debt.

I strongly suspect that's the underlying motive. Dismiss or downplay debt so we can spend our way to prosperity with plenty of pixie dust for everybody.

 

[Moonglow]

Money has value. You don't create value by printing it. You can devalue it since value doesn't go up with more money floating around.

If money is debt, come on over and mow my lawn. I'll consider the debt payment in full.

You didn't answer my question... Do you know where new money comes from?

Do you know what happens to that money when the debt is paid back?

It is destroyed.

Of course. This is why we need the government sector to run a net deficit.

Correct... This is a concept that the simpletons that keep arguing with you seem unable to understand. They still think we are in the gold standard and have racked up a 19T credit card bill. An honest discussion and better education about our current economic situation needs to be had.

You can't have an honest discussion with anybody that posits money is debt. I didn't pay my house off with more debt. Nobody was willing to mow my lawn and consider us even with me owing a debt. The premise of the argument is seriously flawed, you can't build on a foundation that has no merit.

What the hell was the point in the exercise in the first place?

And he seems not to want to answer anything directly and specifically...

 

[Norman]

Do you know what happens to that money when the debt is paid back?

It is destroyed.

Of course. This is why we need the government sector to run a net deficit.

Correct... This is a concept that the simpletons that keep arguing with you seem unable to understand. They still think we are in the gold standard and have racked up a 19T credit card bill. An honest discussion and better education about our current economic situation needs to be had.

You can't have an honest discussion with anybody that posits money is debt. I didn't pay my house off with more debt. Nobody was willing to mow my lawn and consider us even with me owing a debt. The premise of the argument is seriously flawed, you can't build on a foundation that has no merit.

What the hell was the point in the exercise in the first place?

It's debt (or more accurately liability) to FED and banks, not yourself. To you it's an asset. The corresponding assets at FED are government debt.

I kind of agree that some people spin this way out of context though. That is just the way lying liberal regressives are... So it would be perhaps better to stop calling it debt.

I strongly suspect that's the underlying motive. Dismiss or downplay debt so we can spend our way to prosperity with plenty of pixie dust for everybody.

Nah, it's just to stop the crowd who think they are enslaved to ever increasing debt payments to central bankers.

They will be enslaved to ever increasing debt payments to social security ponzi scheme and government debt instead.

 

[Iceweasel]

Of course. This is why we need the government sector to run a net deficit.

Correct... This is a concept that the simpletons that keep arguing with you seem unable to understand. They still think we are in the gold standard and have racked up a 19T credit card bill. An honest discussion and better education about our current economic situation needs to be had.

You can't have an honest discussion with anybody that posits money is debt. I didn't pay my house off with more debt. Nobody was willing to mow my lawn and consider us even with me owing a debt. The premise of the argument is seriously flawed, you can't build on a foundation that has no merit.

What the hell was the point in the exercise in the first place?

It's debt (or more accurately liability) to FED and banks, not yourself. To you it's an asset. The corresponding assets at FED are government debt.

I kind of agree that some people spin this way out of context though. That is just the way lying liberal regressives are... So it would be perhaps better to stop calling it debt.

I strongly suspect that's the underlying motive. Dismiss or downplay debt so we can spend our way to prosperity with plenty of pixie dust for everybody.

Nah, it's just to stop the crowd who think they are enslaved to ever increasing debt payments to central bankers.

They will be enslaved to ever increasing debt payments to social security ponzi scheme and government debt instead.

I don't get that. You tell people debt is money so they will take on less debt?

 

[Norman]

Correct... This is a concept that the simpletons that keep arguing with you seem unable to understand. They still think we are in the gold standard and have racked up a 19T credit card bill. An honest discussion and better education about our current economic situation needs to be had.

You can't have an honest discussion with anybody that posits money is debt. I didn't pay my house off with more debt. Nobody was willing to mow my lawn and consider us even with me owing a debt. The premise of the argument is seriously flawed, you can't build on a foundation that has no merit.

What the hell was the point in the exercise in the first place?

It's debt (or more accurately liability) to FED and banks, not yourself. To you it's an asset. The corresponding assets at FED are government debt.

I kind of agree that some people spin this way out of context though. That is just the way lying liberal regressives are... So it would be perhaps better to stop calling it debt.

I strongly suspect that's the underlying motive. Dismiss or downplay debt so we can spend our way to prosperity with plenty of pixie dust for everybody.

Nah, it's just to stop the crowd who think they are enslaved to ever increasing debt payments to central bankers.

They will be enslaved to ever increasing debt payments to social security ponzi scheme and government debt instead.

I don't get that. You tell people debt is money so they will take on less debt?

My point was that I am fed up with all the videos people have made who have no clue how the system works.

 

[Toddsterpatriot]

Money is debt.

I'm holding a $20 FRN. Do I owe interest on it, or does someone owe interest to me?

The $20 FRN is a liability for the government sector. Of course, the government sector doesn't need to worry about it, as the issuer of currency.

The $20 FRN is a liability for the government sector.

The government doesn't owe me for my $20.

 

[Norman]

Money is debt.

I'm holding a $20 FRN. Do I owe interest on it, or does someone owe interest to me?

The $20 FRN is a liability for the government sector. Of course, the government sector doesn't need to worry about it, as the issuer of currency.

The $20 FRN is a liability for the government sector.

The government doesn't owe me for my $20.

It's still a liability of the FED. No one said you were personally owed.

 

[Centinel]

It can't work any other way. When the government deficit spends and gives the foreign/domestic private sector new net financial assets, the government holds the liability. This is a "debt" for the government, although, being the sole issuer of the currency, the us government doesn't need to worry about spending past tax receipts. That's for another discussion though. Anyways, we must also note that loans create deposits, when billy wants a $10000 loan from the bank, the bank creates a $10000 deposit and the bank gets a liability/asset, the liability being the deposit, and the asset being billy's promissory note. (His payment to repay + interest.) Billy also gets an asset/liability, you should know what these are by now. Most of the time, this all defaults to zero, but when people who take loans can't pay them back, the bank has taken the risk. Anyways, it should be clear now that money is debt. It has to work this way. It does work this way.

Would you still claim this to be the case with a commodity money, such as gold or silver?

Also, why are you bothering to point out that money is debt?