3 comments on “On The Money, Stock Market Investing

  1. The most important understanding for our time is a recognition that monetary systems reflect specific values and that real competition would include complementary currencies that reflect different values. Our current usury based currency values speculation too heavily.

    Those who enjoy the game of wealth building and leverage dollars which are expected to grow in value and provide a positive rent/interest are well served by our current system. The problem is we are all captive to this winner take all game & the currency is rigged against those who would prefer to put their energies to other purposes (and hire the wrong financial adviser). There is a reason that 90% of the wealth has migrated into the hands of less than 5% of the people. This is because the money flows are set up to move the money to the people who receive more interest than they pay from the larger population of people who are paying more interest than they receive. As this money pools into fewer hands the velocity slows, particularly at times like this when large speculative bubbles need time to unwind themselves.

    Having a currency designed specifically to address the function of ‘medium of exchange’ (even during times like this when the ‘store of value’ has been degraded in the speculative currency) is an important part of the ecology of healthy economic exchange. One good example is the CHIEMGAUER in Austria, which is a demurrage currency having a small ‘holding fee’ attached to boost the velocity of the money. This is the same thing as having a small flat tax on the currency & if local governments would do that, then they could spend the currency into circulation on the social infrastructure like teachers, police and fire departments. During the last depression this was tried very successfully in Worgl (see minute 2 of this 4 minute video http://www.youtube.com/watch?v=hxdPIOUTd2k).

    I think we need to begin looking at more dynamic models of local exchange that allow people more competitive choices in the values inherent in their monetary systems.

    link to the Chiemgauer: http://www.ijccr.net/IJCCR/2009_%2813%29_files/IJCCRvol13%282009%29pp61-75Gelleri.pdf

  2. Pingback: My 100th Post, and First Apology « Like You've Got Something Better To Do

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