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I'm beginning to think they're going to let the Fed "explode" but then we're supposed to go on like nothing ever happened. The mechanics of the explosion are wh
by vsareto 7y ago
I'm beginning to think they're going to let the Fed "explode" but then we're supposed to go on like nothing ever happened. The mechanics of the explosion are what I wouldn't understand, but it could be as simple as debt forgiveness and businesses just suddenly have to pay a lot less money per month or no one comes to collect.
I don't think it's impossible to do financial engineering and hacking to the point where we can ignore an occasional fundamental collapse. Like if I owe money to a mobster, but I somehow kill his entire mob and burn all of his notes, so no one has memory of my obligation. It's just throwing my debt into a black hole and I'm not going to pay a dead guy.
- abacadaba 7y agoWorked* in the bible, every 50 years no work for a year and all debt goes bye bye. Time to bring back the Jubilee?
- hiram112 7y agoWho owned that debt in the bible? It's not all sheiks and kings these days, but instead pension funds and insurance companies. I'm not sure you can just forget the debt without screwing a lot of people in the process. My guess is the Fed will just print the money as that's a lot more politically feasible than the alternative. The only question is if we have to print more than other countries.
- chrisco255 7y agoYes but printing, too, has tons of risk and could lead to hyperinflation if overdone.
- abacadaba 7y agoWhoever you borrowed from I guess. But also part of it was that if you sold your land during that time you also got it back when all the debt was forgiven. So if needed you could sell it for another 50 year lease at that time. *am not a biblical scholar, feel free to correct