Wednesday 3 November 2010

Economists toying with the idea of scrapping money.

Clarendon Lectures, lecture 1 EVIL IS THE ROOT OF ALL MONEY by Nobuhiro Kiyotaki London School of Economics, a macroeconomist and John Moore Edinburgh University and London School of Economics, a microeconomist foreseeing the future ..of money.

"The overall title for the lecture series is "Money and Liquidity". But
let me say straight away that, of these two, we think liquidity is the key.
Money -- that is, non-interest-bearing fiat money -- is merely the
consequence of a liquidity shortage. As I shall explain later, money is not
a logical necessity. Indeed, money may eventually disappear. It may be
driven out by ultra-liquid, privately-issued securities that earn interest.
In our view, Monetary Economics should be displaced by Liquidity Economics
."

That is an interesting thought. Money, not a logical necessity, may eventually disappear. And what of all these that drag along with money and mollify the individual. Power, fame, 'sex appeal' and what other else one can think of. Though the suggestion of being replaced by ultra-liquid, privately-issued securities that earn interest, makes one wonder what is in their mind, and how would that affect people's relationships, which, by the way, it might not be their concern at all but the doubts shed on the usefulness of money, it is, what is worth acknowledging the points made.

As for interest again, compounded I gather, loansharking at bay, these ultra-liquid securities, would be what? Issued by on-the-money individuals, tycoons and the like, bypassing banks and other corporate bodies and possibly evading state control. Capitalism of its worst kind. Foreseeing the domination of the world affairs by moneyed individuals, out to replace elected governments? Mad from power-hunger, Doctors No's and other fictitious characters, the now Bill Gates, Turners, Murdochs, Steve Jobs, out to conquer and dominate the world, to own and make revenue out, of countries, continents, the entire world may be not the limit, having to rely upon James Bond's fellas to save us from?

Monetary economics, exercised by states, public expenditure, budgets etc etc, to liquidity economics? How would that translate into people's lives? Foreseeing the end of states? Is that so umairh

I haven't read the rest of the pdf, as yet, but that raises intriguing thoughts on what's in the minds of economists. To whether that would lead from the very perpetrators themselves to the freedom of humankind from its slavery to money, or on enslaving further human kind to a harsher boot.

The unhinged dedicated ruthless uncompromising perpetrators, providing support with their theories to their masters, to whom they are in the payroll. It is up to humankind what the future holds for money, and if it doesn't do what is supposed to do, then why keep it.

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