tag:blogger.com,1999:blog-9192922.post7536303818862995409..comments2024-03-26T07:51:43.186+00:00Comments on Mabinogogiblog: Why is debt breaking the world economy?DocRichardhttp://www.blogger.com/profile/08903964792092284406noreply@blogger.comBlogger5125tag:blogger.com,1999:blog-9192922.post-3140167591710008522011-08-09T17:15:25.992+01:002011-08-09T17:15:25.992+01:00Yes Doc, I'd agree QE should go into the Green...Yes Doc, I'd agree QE should go into the Green Investment Bank - the conventional banking sector will simply horde the money. You might be interested in this from the NEF’s David Boyle. http://davidboyle.blogspot.com/2011/08/planning-ahead-for-next-crash.htmlDavid Coxhttps://www.blogger.com/profile/03074466074735623957noreply@blogger.comtag:blogger.com,1999:blog-9192922.post-41250545009225116252011-08-08T20:43:59.788+01:002011-08-08T20:43:59.788+01:00Hi David ((or should that be Your Mayoralness?)
G...Hi David ((or should that be Your Mayoralness?)<br /><br />Good to hear from you again, and delighted to learn that you too understand that there is more than one way to generate money. <br /><br />Hmm. What zacly would we be asking Vince to do? WIR was a collective, with no scrip. I'm open to suggestions, but given the glutinous slowness of the speed at which Govt can move, would it not be better to press him to a more modest goal, like requiring that QE2 should be passed (mainly) though the Green Investment Bank?<br /><br /><br />Faeremae<br />Welcome! Thanks for following. I had no idea. I suspect that you are doing WIR, in essence. Though since we are discussing finance, another might come along and say the opposite.<br /><br />Hi Stuart<br />Long time no see.<br />I know. Balance of payments (ratio of imports and exports) in UK is not good. We import too much. Which is one of the unsung virtues of the Green New Deal - by cutting imported energy. Though I may be wrong there, because gas is needed to back up renewables, sadly.<br /><br />This is the thing about economics - it is such a huge system. I cannot believe there are not computer models available for economics, as there are for climate science.<br /><br />Anyway, I didn't look at balance of payments because I am trying to explain how increase in debt is inextricably intertwined with increase in money supply.DocRichardhttps://www.blogger.com/profile/08903964792092284406noreply@blogger.comtag:blogger.com,1999:blog-9192922.post-80834070219999694782011-08-08T09:38:24.770+01:002011-08-08T09:38:24.770+01:00Hi Richard, I think you might be better off lookin...Hi Richard, I think you might be better off looking at balance of payments rather than just debt.Stuart Jefferyhttps://www.blogger.com/profile/12414305399511760663noreply@blogger.comtag:blogger.com,1999:blog-9192922.post-32399296733193184572011-08-08T02:58:58.026+01:002011-08-08T02:58:58.026+01:00Sounds like a plan David, per'aps you could &#...Sounds like a plan David, per'aps you could 'suggest' this to Vince.<br /><br />I, myself, although rather bereft of funds, just for devilment, loaned a small amount to a company that lends it to someone else and I share the interest. I don't know if this is the same sort of thing as the WIR?<br /><br />I, too, am looking forward to the 'Green Revolution'!faeraemaehttps://www.blogger.com/profile/15383171308348874170noreply@blogger.comtag:blogger.com,1999:blog-9192922.post-91405272171375013082011-08-07T11:39:19.218+01:002011-08-07T11:39:19.218+01:00There is of course another way of ‘creating money’...There is of course another way of ‘creating money’ - the Swiss created an alternative currency to keep small companies afloat during the 1930s recession, is still thriving as three-quarters of a centaury later. The WIR (WIR derived from the word "wirtschaftsring", or "economic circle". Wir is also the German word for "we", signifying togetherness and solidarity) was launched in Zurich in October 1934 as thousands of small and medium-sized enterprises (SMEs) struggled to cope with the consequences of the great global depression. Cash was hard to come by as stock markets crashed, banks collapsed and people with money hoarded their reserves. The WIR bank is a not for profit bank. It serves the interest of the clients, not the bank itself. It is a very stable system, not prone to failure as the current banking system is. It remains fully operational even in times of general economic crisis. WIR may have contributed to the remarkable stability of the Swiss economy, as it dampens downturns in the business cycle. <br /><br /><br />Vince Cable is calling for more quantive easing, if this were done this through a WIR type bank it could help the UK weather the storm and fund the green transformation of our energy generation and economy - which is now not just an environmental imperative, but a strategic and economic necessity.David Coxhttps://www.blogger.com/profile/03074466074735623957noreply@blogger.com