tag:blogger.com,1999:blog-830201814627063938.post6204041815743358882..comments2024-03-22T11:05:30.869+00:00Comments on Financial crisis? <br>It's a pyramid, stupid.: Debt magic: a story from DevonUnknownnoreply@blogger.comBlogger7125tag:blogger.com,1999:blog-830201814627063938.post-6971092896410011072012-01-19T16:48:30.689+00:002012-01-19T16:48:30.689+00:00Hi Bob
You criticise me for something which is no...Hi Bob<br /><br />You criticise me for something which is not part of my short article. And as you know, if you have NOT a poor understanding of economics, that debt statistics figures do not necessarily show TRUE debt. What you are rephrasing at the end is simply the logic of my story. So if I show a poor understanding you show it too. Judge for yourself.<br /><br />Best, GregGreg Pytelhttps://www.blogger.com/profile/15749997788308388129noreply@blogger.comtag:blogger.com,1999:blog-830201814627063938.post-16628927190595413542012-01-19T16:38:17.938+00:002012-01-19T16:38:17.938+00:00While I don't doubt the legitimacy of a debt p...While I don't doubt the legitimacy of a debt pyramid, your story shows a poor understanding of economics and the role of money as a unit of account. There was no true debt (i.e. a future obligation) in that situation. The economic activity/trade had ALREADY occurred, the participants just didn't have a way of showing it - this is a money supply issue. To rephrase - 'A' does something for 'B' who does something for 'C' who does something for 'A'. The net debt of each person is zero, they just don't realize it.bob stackshttps://www.blogger.com/profile/05506380895311492544noreply@blogger.comtag:blogger.com,1999:blog-830201814627063938.post-60514950649939817672011-12-18T13:03:11.102+00:002011-12-18T13:03:11.102+00:00Hi, yes, this is true but it is not clear to what ...Hi, yes, this is true but it is not clear to what degree. It is an excellent point.<br /><br />This one of the biggest potential problems. And it is one of the mechanisms the pyramid designers built into the system in order to keep the governments at ransom, so they do not liquidate the pyramid but are "forced" to keep on subsidising the scammers.<br /><br />I made that point in my first article, "The largest heist in history":<br /><br />http://gregpytel.blogspot.com/2009/04/largest-heist-in-history.html<br /><br />when I wrote it 3 years ago.<br /><br />It would better (and cheaper) for the governments to liquidate the pyramid and compensate the pensioners directly (e.g. by transferring their pensions on the government books) rather than keep on subsidising the entire global pyramid scheme of which pension element is not such a big part, and definitely not the part that creates the run away aspect of the pyramid. Basically by averting a much smaller problem now, the much larger problem is being nurtured that is likely, if not stopped, to ruin in time the entire western economy (taking down all the pensions, including the state ones, with it).<br /><br />Best, GregGreg Pytelhttps://www.blogger.com/profile/15749997788308388129noreply@blogger.comtag:blogger.com,1999:blog-830201814627063938.post-45184967597850998782011-12-18T12:46:19.660+00:002011-12-18T12:46:19.660+00:00Hi Greg
Dont pension funds,in a round about way, ...Hi Greg<br /><br />Dont pension funds,in a round about way, rely on those huge income streams also?<br /><br />Regards<br />A LeggAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-830201814627063938.post-83584471106900189852011-12-17T04:57:02.998+00:002011-12-17T04:57:02.998+00:00Hi Greg,
I just wanted to write in and say thank ...Hi Greg,<br /><br />I just wanted to write in and say thank you for your efforts. You're doing a great thing. Keep it up.<br /><br />Cheersreginaldhttps://www.blogger.com/profile/16269695137883231301noreply@blogger.comtag:blogger.com,1999:blog-830201814627063938.post-13416968177829586222011-12-14T18:59:58.224+00:002011-12-14T18:59:58.224+00:00Excellent point, Greg. Really it's the banks v...Excellent point, Greg. Really it's the banks vs everyone else in this tale.Sackersonhttps://www.blogger.com/profile/17284329249862764601noreply@blogger.comtag:blogger.com,1999:blog-830201814627063938.post-27181450454590099692011-12-14T02:06:44.613+00:002011-12-14T02:06:44.613+00:00Well one real big problem with economics as a theo...Well one real big problem with economics as a theoretical subject is blind theft the use of sheer force never seems to enter it.<br />Yet I recall several school bullies stealing my lunch money.<br />Despite being reported no money was returned to me.<br />Despite the physical abuse no compensation was paid to me.<br />Yet after all these years they seem to own several properties, are on their 3rd or 4th wife whilst I live in near poverty on welfare<br /> <br /> <br />Oh yeah, some work for banksstalinvladhttps://www.blogger.com/profile/04422158209801895819noreply@blogger.com