Philosophy Now Forum

Science Fan wrote: ↑Wed May 31, 2017 4:08 pm Bob, you have no understanding of the most basic economics.

I think you've missed something about Bob's lack of understanding there SF.
He honestly believes that for everything which exists and is worth X dollars - whether it is being sold or not - that X value of dollars must also exist.
He thinks that this solution creates less money than is currently sloshing around.
He doesn't enjoy being shown that even if you only price for land, that requires an exponential increase in money supply.

That's what he means by ...

fucking idiot wrote:Any time the money supply exceeds the intrinsic value of property

He may actually be learning though. Normally he writes "intrinsic market value" so perhaps he has finally learned that market value is extrinsic.

So what you are saying is that the $100 dollar bill has a market value of $100 but an intrinsic value of paper + ink = more or less nothing.
That is because market value is extrinsic.

There is of course nothing like so much money in circulation as there is in the value of all the stuff that could possibly be bought and sold Bob. So your plan is to create enough money to cover the value of every sq foot of land, every brick, chair and car in the world.

That's a massive increase...

...which of course would cause an inflationary spiral

which would push up the prices of everything....

... so you have to create an infinite amount of money to make the plan you have to stop creating money work.

But that inflation happens without the money supply exceeding the value of property, in fact it happens without money supply being so much as a measurable fraction of the value of property. So your plan to create the same amount of money as there is value of property guarantees massive hyperinflation.

Well of course, that is the point of MV = PQ
(Money supply M, multiplied by the rate at which money is spent V is equal to Prices P multiplied by the rate at which things are bought Q).

But you do say that the M in that equation must also equal the total value of all items that have value.

Currently M is not a notable fraction of that. It doesn't really matter whether you mean M0, or M4, none of the options is sufficient.

So to bring M up to the numbers you describe, either P or Q must also grow exponentially.
Q Cannot unless you make everybody sell everything they own every day (and if you did, then obviously V goes up too and you are still fucking yourself)
Your solution is therefore increase prices. To cause massive hyperinflation in fact.

You fucked yourself by making shit up as you go along hoping God would back you up, which yet again he cannot be bothered to do.
You never needed this thing you have about the amount of money in circulation equalling the value of goods, and you should obviously just let it go.
But you are a stupid man and you have no way to admit an error and withdraw anything.

bobevenson wrote: ↑Sat Jun 03, 2017 9:25 pm No, I'm sorry, what makes you a motherfucking idiot is that you fail to realize that the government in charge of fiat money is responsible for any inflation associated with that money, in other words, the dilution in the value of that money when purchasing goods and services. Unless you understand that basic economic fact, you will continue to wallow in your ignorant assessment of the problem.

Everybody knows Bob is losing the debate when he resorts to cursing.

PhilX

bobevenson wrote: ↑Sat Jun 03, 2017 10:18 pm No, but it is cursing that might awaken people like you to the prophetic reality of Bob the Baptist.

It has the opposite effect Bob. This leads me to making a prophecy of my own. Whenever Bob is losing a debate, he will curse which further destroys his argument.

PhilX

bobevenson wrote: ↑Sat Jun 03, 2017 10:40 pm Again, you forget that I am Bob the Baptist, the new guru, the modern messiah, the wizard of Ouzo, and a divinely inspired prophet of all things spiritual, political and economic.

Which means squat.

PhilX