Why Issue Treasuries?

[SuburbanFarmer]

That's because everyone is thinking ACCOUNTING, and NOT economics.

p.s. I think people on this forum are just now getting the implications of what I'm saying. Money is imaginary, and should be secondary to productivity.

Money is used to exchange productivity. We need a medium of exchange, or we're bartering medicine for cattle.

If you make it too obvious that somebody is printing money (productivity) at will, then it will lose its value. Accounting is a keystone of the Ponzi scheme.

As long as productivity = consumption, there is no problem. The $20 trillion is the Ponzi scheme.

Consumption and productivity have nothing to do with fiat currency.

If you're talking about the 'consumption' of that currency itself, it's never consumed. It's simply taken out of circulation for a while.

[Martin Hash]

You should take the CPA exam. You could probably pass it without studying. Make some real money.

[Speaker to Animals]

The moment a critical mass of people realize that fiat is a farce, we switch back to barter until the government returns to real money again.

[Martin Hash]

It’s been a farce for decades, nobody’s going to do anything.

[Hastur]

If it's stupid but it works it's not stupid.

[doc_loliday]

Gold is valuable because its a good conductor and looks nice on watches and not because people want it because people want it right?

[Martin Hash]

If it's stupid but it works it's not stupid.

It's not even stupid, except that it allows aristocracies to develop. I'm saying governments shouldn't even have the pretense of "paying back" money.

[Martin Hash]

Gold is valuable because its a good conductor and looks nice on watches and not because people want it because people want it right?

Commerce is NOT an economy either; exchange of chickens, gold or greenbacks is still mandatory. Only economies shouldn't bother with the pretext of borrowing money; in fact, it's actually destructive.

p.s. An economy is ever-increasing production so that people have to work less-n-less for the same standard of living.

[Speaker to Animals]

Gold is valuable because its a good conductor and looks nice on watches and not because people want it because people want it right?

Scarcity combined with nonpershability. There's enough gold and silver to maintain a large money supply, but not so much that you can flood the market with it.

[DBTrek]

If it's stupid but it works it's not stupid.

It's not even stupid, except that it allows aristocracies to develop.

At the risk of belaboring the obvious - aristocracies existed long, long, long before fiat currency.