9 ms·
Indeed, the book Money by Jacob Goldstein, co-host of NPR podcast Planet Money, talks precisely about this in regards to the gold standard. One reason that it w
by cercatrova 4y ago
Indeed, the book Money by Jacob Goldstein, co-host of NPR podcast Planet Money, talks precisely about this in regards to the gold standard. One reason that it was taken off the gold standard was because monetary policy could not be fully leveraged well when every dollar was worth some amount of gold. One couldn't print new money during recessions to restart the economy, and one couldn't remove dollars from the money supply in a boom period.
- mgamache 4y agoThat model is based in Keynesian Economics. It's just not reality in many situations.
- Retric 4y agoEvery model is wrong, some models are useful. Economic models, Keynesian or otherwise, are attacked and misapplied because individual players are better off with a larger slice of a smaller pie. Which doesn’t inherently invalidate these models, but few care about accuracy when billions of dollars are involved. When people talk about say ‘cap and trade’ what they really mean is give us a giant subsidy.
- olalonde 4y ago> Economic models, Keynesian or otherwise, are attacked and misapplied because individual players are better off with a larger slice of a smaller pie. As if going off the gold standard reduced wealth inequality. https://wtfhappenedin1971.com/ https://wtfhappenedin1971.com/
- Retric 4y agoYou can make every individual better off while increasing wealth inequality. Just imagine how bad wealth inequality would get if you doubled everyone’s lifespan.
- olalonde 4y ago> You can make every individual better off while increasing wealth inequality. Absolutely. I guess I misread you? I thought you were blaming sound money for wealth inequality.
- zajio1am 4y agoThe era between 1945 and 1971 was not based on gold standard, but it was Bretton Woods system, that worked in a significantly different way from both era before (traditional gold standard) and era after (floating currencies).
- mrep 4y agoIs that a joke website or are they actually trying to tie the end of Breton woods to the quadrupling of lawyers per capita since 1971? The number of people who drown in a pool strongly correlates with how many films Nicolas Cage has appeared in [0] but that doesn't make it a causation. [0]: https://www.tylervigen.com/spurious-correlations https://www.tylervigen.com/spurious-correlations
- ralph84 4y agoEconomic inequality has massively increased since abandoning the gold standard. Of course academic economists carry water for the people at the top benefitting from the inequality.
- jquery 4y agoThe number of pirates has drastically decreased since abandoning the gold standard. Sure you're not carrying water for Big Pirate?
- ewzimm 4y agoHas it though? If piracy is the act of invading someone’s private space where they can be isolated them from help and taking from them, is ransomware just modern piracy with less violence? Of course the sea pirates are still very active on some areas.
- FBISurveillance 4y agoTo rephrase: global warming becomes a bigger issue as JavaScript adoption grows.
- ewzimm 4y agoYou might be on to something there! Think of all the heat generated by executing all that inefficient code! I’ll rephrase as well. Problems like inequality or robbery have a tendency to adapt to whatever circumstances we create for them.
- mrcartmeneses 4y agoTax rates for the wealthy have also declined massively.
- refurb 4y agoThe percent of all taxes paid for by the top 1% has only held steady or gone up over time.
- deleted 4y ago[deleted]