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The problem with not listening to economists is that you then suggest policies which economic history reveals are seriously flawed. Why are foreign investors li

by dash2 3y ago

The problem with not listening to economists is that you then suggest policies which economic history reveals are seriously flawed. Why are foreign investors likely to accept shares in your business denominated in, say, Rupiyah? Especially if it can't be "hot money", which implies they won't be able to resell it. As for building the equipment yourself: are you kidding? This kind of import-substitution failed spectacularly all over the developing world in the 1950s. I find it weird. Nobody would listen to me pontificating about how to design a microkernel and talking about "the problem with programmers".

neilwilson 3y ago
"Why are foreign investors likely to accept shares in your business denominated in, say, Rupiyah?" Because if that country wants to sell their stuff to you, that would their only option - other than taking Rupiyah directly. And if your country doesn't do it, then some other country will - because new sources of demand don't come by every day. That's how you avoid a 'debt trap' and the debt prison that comes from countries not being able to go bankrupt. And as Steve Keen regularly says you are better off studying System Dynamics than economics. It has more application to the real world.
- dash2 3y ago
  I predict to you that demand for shares in emerging country currency in exchange for real goods will be low, and that no country will ever get rich by this method, because none ever has. As for system dynamics, I don't know about it - maybe it's great. But I do know a little economics, and a glance at NBER reveals very many deeply practical applications from unemployment to inequality to supply chains to sexual harassment: https://www.nber.org/papers?page=1&perPage=50&sortBy=public_date https://www.nber.org/papers?page=1&perPage=50&sortBy=public_.... So I'll repeat my point: do you know economics? If not, what makes you so confident to pontificate about it?

by dash2 3y ago

neilwilson 3y ago

"Why are foreign investors likely to accept shares in your business denominated in, say, Rupiyah?" Because if that country wants to sell their stuff to you, that would their only option - other than taking Rupiyah directly. And if your country doesn't do it, then some other country will - because new sources of demand don't come by every day. That's how you avoid a 'debt trap' and the debt prison that comes from countries not being able to go bankrupt. And as Steve Keen regularly says you are better off studying System Dynamics than economics. It has more application to the real world.

dash2 3y ago
I predict to you that demand for shares in emerging country currency in exchange for real goods will be low, and that no country will ever get rich by this method, because none ever has. As for system dynamics, I don't know about it - maybe it's great. But I do know a little economics, and a glance at NBER reveals very many deeply practical applications from unemployment to inequality to supply chains to sexual harassment: https://www.nber.org/papers?page=1&perPage=50&sortBy=public_date https://www.nber.org/papers?page=1&perPage=50&sortBy=public_.... So I'll repeat my point: do you know economics? If not, what makes you so confident to pontificate about it?